PayPal Launches Pilot In-Store Payment Service:

PayPal, the electronic-payments division of eBay, said it is testing an in-store payment system with Home Depot that allows shoppers to purchase items without cash or a conventional credit card.

(Via WSJ.com: US Business)

This is a development worth watching. Retailers are pushing back on interchange fees and there is an opportunity for new ideas to take hold with some big players.

Prediction: Disruption to the credit card payment system is coming.