US secure ID and card personalization services company Datacard Group has entered a partnership and equity investment deal with US mobile contactless payment services company DeviceFidelity.

Under the agreement, Datacard Group is set to provide financial institutions and wireless carriers with DeviceFidelity’s In2Pay services which use microSD technology to transform smartphones into interactive contactless mobile payment devices. Thus, financial institutions and wireless carriers are set to provide consumers with credit, debit, prepaid or multi-account mobile wallets that can be used at contactless point-of-sale terminals.

DeviceFidelity’s In2Pay service includes microSD cards, as well as the iCaisse, a microSD-enabled protective case for iPhones, that enable issuers to provide mobile payment services allowing consumers to use their smartphones without changing mobile phone providers or upgrade the device. The technology fits with multi-partner wallet programs that have a trusted service manager (TSM) infrastructure and can be deployed independently from handset makers and telecom operators.

Datacard Group is joined by Dallas-based investment company Dallas Venture Partners (DVP) as an equity partner in DeviceFidelity.