By Joshua Jamerson
Amazon.com Inc. launched a new mobile payment service for local businesses to accept credit and debit card transactions from a smartphone or tablet.
Amazon Local Register requires users to download a new mobile app and attach an Amazon-provided card reader to their mobile device. The product would rival mobile-payment company Square Inc.'s existing service, which works similarly.
The app that hosts the service is available for free on Amazon's Appstore, Apple Inc.'s App Store and Google Inc.'s Play. Businesses that sign up will receive the card reader via mail.
Amazon (AMZN) said users who sign up before Oct. 31 will receive a promotional low transaction rate of 1.75% on swiped transactions until January 1, 2016. After that, users will pay a flat rate of 2.5% on all swiped transactions.
Square charges merchants 2.75% per payment.
(An expanded version of this report appears at WSJ:com http://online.wsj.com/articles/amazon-unveils-mobile-payment-app-and-card-reader-1407932568/?link=instory.).
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-Joshua Jamerson; 415-439-6400; AskNewswires@dowjones.com
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08-13-14 1027ETCopyright (c) 2014 Dow Jones & Company, Inc.