Mobile payments are now considered as an essential way to pay by many who prefer making contactless payments. Even retailers prefer mobile payments as it hastens the checkout process and makes their accounting system simpler, as each transaction is automatically recorded. Dubbed as the catalyst that brought about the boom of mobile eCommerce sales, mobile payments have become an integral part of the modern lifestyle.
Mobile devices function as a digital wallet
By adding a debit or a credit card into your mobile payment app, it is possible to make payment transactions for services and goods using your mobile device just like you would when using a terminal to transact. Your mobile device functions as a digital wallet to provide you with what is required to go shopping to make an online payment and to use it at contactless payment terminals. There are several reasons why people prefer to make financial transactions using mobile payment apps.
A convenient payment method
Mobile payment systems make sending and receiving funds much more convenient than paying using other methods such as cash or swiping a credit card. You no longer need to bring with you cash or debit and credit cards and simply use your mobile device to make payments using contactless terminals. Mobile payments aid in greatly reducing the risks of bringing cash such as being robbed because if your device gets stolen, it can be locked. Using your digital wallet to make a payment transaction is much faster and easier than swiping a debit or a credit card or paying in cash.
Using a payment terminal
These mobile payment apps enable you to use your mobile device for making an in-store purchase. The technology used by these apps is known as NFC, which means Near-Field Communication. With this technology, after the input of the payment transaction details, all you have to do is to hover your mobile device in front of the POS terminal so the funds can be sent to the retailer. With the action of having the mobile device in front of the contactless payment terminal, the payment transaction can be approved. It takes that single action to conduct secure payment.
Secure payment transactions
Most payment apps are secure payment systems that send either a protected or an encrypted code for reducing the risk of the threat to sensitive information being obtained by cybercriminals. Your card number is not stored by the retailer nor in the device. Due to sending coded transaction messages, your financial data has a high level of security. It is also possible to add security measures to the mobile device and/or the online payment app further by placing a PIN, password, or fingerprint, or face recognition.
Pay with ease
Most retailers do accept contactless payments with more shops integrating these payment terminals daily. The number of shops that accept mobile payments has increased over time and will continue to do so in the coming years. Fueled by the convenience, the use of mobile payments has increased as more people become more at ease with using this technology.