Walmart says it will not join Apple Pay system; rallies behind CurrentC method instead

In a recent announcement, the largest retailer by revenue, Walmart said that it will not support Apple's new mobile payment system, Apple Pay.

Though Apple is set to launch the Apple Pay system by partnering prominent retailers like Disney, McDonald's and Macy's, as well as leading US banks and credit card companies, Walmart - which has a massive customer base - has decided to rally behind the CurrentC mobile payment method instead.

The testing of the CurrentC mobile payment system started this month; and the system is likely to roll-out across the US in 2015. Along with Walmart, a number of other reputed brands supporting the CurrentC system include Target, 7-Eleven, The Gap, Southwest Airlines, and Shell petrol stations.

Though Walmart representatives have not offered any explanation behind the retailer's decision to support CurrentC mobile payment system rather than Apple Pay, the move is apparently rooted in the fact that the financial incentive to join Current C may be higher than that for Apple Pay.

Moreover, if the testing of CurrentC is successful and the system is widely accepted, it could bring about a fundamental change in the credit and debit card mechanism. The system will essentially allow customers to either load cash into the app or allow the app to withdraw funds directly out of a checking or savings account; without any link to a credit card. As such, Walmart and other CurrentC partners will not have to pay 'swipe' charges to banks.