Tap and pay will soon be added to the Indue card.
Tap and pay will soon be added to the Indue card.

Big changes coming for cashless card trial

CASHLESS Debit Card users will soon be able to tap and go and accrue interest on their Indue accounts.

The new measures were announced this week, along with the decision to extend the trials at existing sites until December 31.

Minister Families and Social Services Anne Ruston said participants were now earning interest on their Cashless Debit Card accounts at a rate of 1 per cent.

"The government is committed to making sure the user experience for welfare recipients who are participating in the Cashless Debit Card trials is the same as anyone else if not better," Minister Ruston said.

"The government is also working with the card provider Indue to give participants the option to tap their card to pay," she said.

"Contactless payments have become a mainstream part of banking in Australia and it is important that Cashless Debit Card participants have access to this functionality.

Hinkler MP Keith Pitt said the extension of the trial would provide certainty for individuals on the card in the Hinkler electorate.

"The introduction of contactless payments in the coming months will give trial participants more flexibility in using their card, and they will be able to earn interest on their Cashless Debit Card accounts," he said.

"The anecdotal feedback I've received about the Hinkler trial has been positive and I look forward to a review of the trial in the future."

Indue is completing the required system upgrades. Interest earned will be credited to accounts from June 2020, back dated to July 1, 2019, while replacement cards to allow contactless payments will be made available in coming months.

Minister Ruston said the six month extension would provide continuity for program participants ahead of parliament being able to consider legislation to further extend the trials and replace Income Management with the Cashless Debit Card in the Northern Territory and Cape York.

The Cashless Debit Card trial has been operating in the Hinkler electorate since January 29, 2019.

Minister Ruston announced a temporary pause on placing new participants on to the Cashless Debit Card on March 25 in light of the Coronavirus pandemic.

That pause is still in place.