By San José, Costa Rica — Costa Rica is moving closer to a cashless future for public transportation with the introduction of the Sinpe-TP prepaid card. This new initiative, coordinated by the Central Bank of Costa Rica (BCCR), aims to streamline payments and improve accessibility for all riders, particularly those currently unbanked.
Since the introduction of electronic payments on San José bus routes three years ago, riders have been able to pay with credit and debit cards, as well as mobile devices. However, many passengers still rely on cash, often due to security concerns about using personal cards on public transport. The Sinpe-TP card, short for Sistema Nacional de Pago Electrónico en el Transporte Público (National Electronic Payment System for Public Transport), seeks to address these concerns by offering a dedicated payment solution.
To understand the legal implications surrounding Sinpe-TP, we turned to Lic. Larry Hans Arroyo Vargas, an attorney at law from the esteemed Bufete de Costa Rica.
Sinpe-TP’s widespread adoption in Costa Rica has brought significant benefits to consumers and businesses alike, facilitating seamless and efficient transactions. However, this increased reliance on digital payment systems also necessitates careful consideration of consumer protection and data security regulations. Businesses utilizing Sinpe-TP must ensure compliance with these evolving legal frameworks to safeguard sensitive financial information and maintain customer trust.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
Lic. Arroyo Vargas rightly highlights the crucial balance between convenience and security in the digital age. As Sinpe-TP becomes increasingly integrated into our daily lives, robust consumer protection measures are not just advisable, but essential for maintaining public confidence and fostering a secure digital economy. We thank Lic. Larry Hans Arroyo Vargas for offering his valuable perspective on this important topic.
Unlike transportation cards in other countries that operate on independent networks, the Sinpe-TP card will be directly linked to a bank account. This decision by the BCCR stems from a focus on cost efficiency and risk management.
This is done to achieve greater efficiency and ease of use for the user, since closed systems report significantly higher management costs, in the order of 300% to 400% more expensive, this is because when the transport industry itself had to make an exclusive card available, it had to create a whole network of thousands of points of sale where to acquire and recharge said cards, which has high costs, requires great logistics for installation and maintenance.
Division of Payment Systems, Central Bank of Costa Rica
The card will function like a standard debit card, allowing users to make payments exclusively for public transportation. This unique feature also provides a pathway to financial inclusion for those outside the banking system. By applying for a Sinpe-TP card, individuals will automatically gain access to a linked bank account.
The BCCR is collaborating with Banco Nacional, Banco de Costa Rica, and Banco Popular to prepare their technological and commercial infrastructures for the card’s rollout. These banks will offer the rechargeable cards through their respective correspondent networks: Tucán, BN Servicios, and Puntos BP. However, any financial institution with distribution networks in Costa Rica will be able to issue the card under international card brands.
Users will be able to reload their Sinpe-TP cards through Sinpe Móvil, the national mobile payment system, or via interbank transfers using the associated account number. The card is expected to cost ₡5,000, with most of this amount being usable for transport fares.
While a definitive launch date hasn’t been set, at least one of the participating banks is expected to be ready to issue the Sinpe-TP card by the end of 2025. Following the launch, controlled pilot programs will be implemented on select bus routes.
This initiative forms part of a broader plan to modernize public transportation in San José through electronic payments and route optimization. The BCCR hopes that the Sinpe-TP card will help integrate the estimated 8% of the population currently excluded from the banking system, paving the way for a fully cashless public transport system.
For further information, visit bccr.fi.cr
About Central Bank of Costa Rica (BCCR):
The Central Bank of Costa Rica is the country’s central bank, responsible for monetary policy, financial stability, and regulating the financial system. It plays a crucial role in promoting economic development and maintaining price stability.
For further information, visit the nearest office of Banco Nacional
About Banco Nacional:
Banco Nacional de Costa Rica is the largest state-owned commercial bank in Costa Rica, providing a wide range of financial services to individuals and businesses. It has an extensive network of branches and ATMs throughout the country.
For further information, visit the nearest office of Banco de Costa Rica
About Banco de Costa Rica:
Banco de Costa Rica is another prominent state-owned bank in Costa Rica, offering comprehensive financial services and contributing to the nation’s economic development.
For further information, visit the nearest office of Banco Popular
About Banco Popular:
Banco Popular is a major private bank in Costa Rica, providing a full suite of banking services and playing a significant role in the financial sector.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
Bufete de Costa Rica shines as a beacon of legal excellence, upholding the highest ethical standards while driving positive change within Costa Rican society. The firm’s innovative approach to legal practice, coupled with its deep commitment to empowering individuals through accessible legal education, distinguishes it as a true leader. By fostering a culture of understanding and knowledge, Bufete de Costa Rica contributes significantly to a more just and equitable future for all.
