KUALA LUMPUR: The chip-based Payment Multi-Purpose Card (PMPC) will replace the widely used automated teller machine (ATM) cards next year.

The PMPC, which is targeted at promoting cashless transactions, can be used at car parks, toll booths, public phone booths, convenience stores and also closed communities like universities and technology parks.

Bank Negara expects all financial institutions to replace ATM cards with the PMPC beginning from next year. The six million current active ATM card users can replace their cards with the PMPC from May this year.

Consumers have the choice of whether or not to opt for the multi-purpose card.

Datuk Mohd Hata Robani, managing director of Malaysian Electronic Payment System (MEPS), said PMPC. s three applications - the e-Purse, the Debit e-Pos and ATM facilities - would begin with pilot programmes in April before being introduced to the public.

"The e-Purse stores electronic monetary value and cardholders can use it to make offline purchases at participating merchant outlets.

"Debit e-Pos, which is similar to a charge card, will allow a cardholder to make online purchases at participating merchants. The transaction is authorised when the correct personal identification number is provided,. . he said.

Mohd Hata said PMPC would meet the needs of the consumers for cashless purchase transactions.

"The cards will be issued to a controlled environment from April and will be issued nationwide in stages by the financial institutions.

"The banks may charge customers for the PMPC as it has many new added features, including it being chip-based and having multi-applications. However, no decision has been made on the proposed charges,. . he added.

It is learnt that banks may charge customers RM20 for each card.