CurrentC: Apple Pay, Google Wallet Competitor Coming In August

Customers who want to use their smartphone to make purchases will soon have an alternative to Apple Pay and Google Wallet. The Merchant Customer Exchange -- an organization founded by Walmart, Target and Best Buy -- will its their app, called CurrentC, in August.

CurrentC will enter a market already dominated by Apple Pay and Google Wallet. According to the Merchant Customer Exchange, the new app will be accepted at 110,000 retail locations across the U.S. The thrust of CurrentC is that it will give retailers a way to stop paying fees to credit card companies, Bloomberg Business reported.

In addition to the founding members, businesses as varied as CVS Health, Sears, Wendy's, Dunkin' Donuts, Gap, Dick's, Lowe's, Chili's and Southwestern Airlines will accept the new system. Instead of a touch-to-pay system like Apple Pay, CurrentC will rely on scanning quick response (QR) codes for purchases.

Apple released Apple Pay in September 2014. The app works with Visa, MasterCard and American Express and with 27 banks. More than 70 retailers accept Apple Pay, including Walgreen’s, Whole Foods, McDonald’s and Macy’s. Additionally, 40 more retailers are expected to accept Apple Pay in the future, according to its website. Apple Pay, however, is available only on iPhones, iPads and Apple Watches.

Google Wallet runs on Android and Apple devices. It can be used wherever MasterCard PayPass is accepted. However, Google Wallet can also be used to send money and purchase gift cards.

Critics have generally been skeptical of the demand for CurrentC. Worse, security will likely be a concern for users of the app: In October 2014, hackers stole an unspecified number of email address during a test run.