Open loop is becoming a popular fare-payments option for agencies in North America. But some are not fully aware of what they will need to pay to offer the service.  

•   Which costs should agencies rolling out open-loop payments be prepared for (and sometimes are not)? Merchant-service fees? Keeping terminals certified? Fraud and chargebacks? 

• Regular interchange rates for transit agencies accepting open loop are some of the highest in the world. Should payments networks offer a special interchange rate for transit agencies? 

• Do agencies lose an important part of their connection to their customers when they roll out open loop? 

• Can agencies trust the financial industry to handle all their fares, or should they hedge their bets with closed loop?  

• Most experts believe agencies still need closed loop; does this tend to limit use of open loop to visitors and other occasional riders