Woolworths to launch credit card

Woolworths is finalising a payment processing system that will cut the cost of transaction sorting. The “switch” system will cut processing costs by allowing Woolworths to sort debit and credit transactions and send them directly to card issuers. It will also create a platform from which Woolworths can launch its own credit card and develop its financial services strategy, which may eventually include personal loans, insurance and mortgages. A Woolworths branded credit card would allow the retailer to join the growing number of non-bank institutions competing for a share of the $33 billion credit card market.