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T Riders Can Soon Tap to Pay for Bus and Subway Fares in Boston

By Elisa Tavilla
July 12, 2024
in Analysts Coverage, Contactless, Debit
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Transit Agencies Rolling Out Rider Loyalty Programs

Transit Agencies Rolling Out Rider Loyalty Programs

Boston T riders will be able to tap their contactless credit or debit card, mobile wallet like Apple Pay or Google Wallet, or Apple Watch to pay for the bus and subway.

Beginning on August 1, the MBTA will roll out its long-awaited new fare system that accepts contactless payments onboard buses, Green Line trolleys, Mattapan trolleys, and all gated subway stations.

Commuters and visitors will be able to tap to pay for their transit fare as they would do for any retail purchase. T riders will no longer have to endure common pain points associated with public transit, such as missing a bus or train while waiting in line to buy or add money to a fare card, worrying about not having exact change or enough cash, and trying to figure out the fare system. With contactless payments, transit riders can simply tap to pay and be on their merry way. Traditional fare payment options, including the CharlieCard, will continue to be accepted.

A significant majority (94%) of transit riders expect public transit to offer contactless payments, according to Visa’ global mobility survey. The MBTA joins other major transit systems like New York’s MTA and London’s TFL in implementing a contactless fare system. The MTA’s OMNY contactless fare system has been very well received by straphangers in the Big Apple with a customer satisfaction rate of 85%. Over three-quarters of New York City Transit regular fare customers are now tapping to pay, and nearly 70% are tapping with their smart device. In London, contactless payments now make up more than 70% of pay-as-you-go rides on TFL buses, and over a third of adult contactless single-ride fares on the Tube are now made using a mobile device.

Contactless payments help transit agencies reduce costs associated with cash handling and proprietary fare cards, like the CharlieCard and Oyster cards, which are expensive to print and encode. Ticket vending machines require heavy upfront investments and carry additional maintenance and repair costs. The MBTA also expects contactless payments to make boarding buses and trolleys smoother because riders will be able to use all doors to climb aboard instead of only the front door. Passengers will also be able to pay near-instantaneously with a credit or debit card or mobile device instead of adding cash value at the fare box on board.

Initially, MBTA customers will only be able to pay per ride using contactless payments. T riders with weekly or monthly passes will need to continue to use their CharlieCards. Gradually, the MBTA will likely introduce other capabilities, such as fare capping, which lets customers get the same benefits of a daily, weekly, or monthly pass without paying advance. For example, in New York, OMNY caps weekly fares at $34 (the same price as a weekly Metrocard) when a customer taps the same card or device for every ride. In the meantime, T riders can register for a Charlie account to view trip history, manage contactless cards or devices used for payments, and set preferences for language, accessibility, and notifications.

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Tags: Apple PayContactless PaymentsGoogle WalletMBTAOmny Cardtransit payments

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