Mobile payment systems (Mobile Pay) refer to the purchase transactions that can be made with a mobile phone. For example, some credit card providers like Visa enable customers to make payments through their phone without using their card. One can also withdraw money digitally for shopping. Mobile payment is a very flexible technology to withdraw from your account digitally. Here are the categories of mobile payment technology –
A business can get mobile payments with this model. For example, someone can dine at a restaurant or shop around. A POS system is required with NFC to accept mobile payments. It needs additional setup and equipment but the process of payment is quite faster.
You can easily transfer money from one phone to another with this model. You can, for example, share your rent or pay your friend through mobile pay or use the same to buy stuff online by sending the funds to your seller. You should have a smartphone compatible with mobile pay to send peer-to-peer. It is very easy to configure and no additional system is needed.
Why Use Mobile Pay?
With so many payment methods out there like credit cards and debit cards, you might be wondering why you would even need mobile pay. EMV is often considered as the best thing for credit card payments. Here are some of the benefits of mobile pay –
Speed of NFC and other mobile payment options is something you can count on. EMV is a great improvement over traditional processes but mobile payments are light years ahead of them. Your customers can simply tap and pay within seconds. There is a huge volume of transactions taking place in retail stores. It is especially true when it comes to speeding up your business turnover.
Mobile payment is more than just a convenient method for any business. It can save your customers from hassles of carrying loads of cash when it comes time to go out. Mobile payment also saves customers from carrying several credit cards. They can easily combine all cards in one payment app. These days, a lot of people have their phones already at their side. Hence, mobile pay has become readily available all the time.
It is another great advantage of this feature, especially when it is powered by something like NFC. It is a great improvement with several security features. Tokenization is one of the best examples. This encryption system locks the credit card data while transferring and storing. It is done by the bank when sending money to merchants. It means hackers will get nothing even if they succeed in stealing the data. They can’t even decode it as this data is dynamic. In addition, mobile wallets have added security layers like Apple Pay uses Touch ID for making payments.