According to Statista (a portal specializing in market
research and analysis), the number of users using contactless payments is
expected to reach one billion in 2020. So far in 2019, more than 900 million
people will use their mobile devices to make payments. ... This method of
conducting transactions has completed its growth with improved security and
ease of use. All you need to do is bring your mobile phone to the POS terminal
to confirm the payment.
Mobile payments are as safe as credit cards, but still many
people don't want to use them. If you are part of this group, we do not want to
convince you, but we are going to clarify exactly how they work and what
benefits this form of payment offers.
Mobile payments, how do they work?
There are many different technologies for making contactless
payments, but payment with mobile phones and contactless cards is most common
in brick-and-mortar stores.
Does a mobile phone need any additional technology to make
payments?
The smartphone must be compatible with NFC or MST systems,
which are responsible for completing a transaction and providing information
exchange between the POS terminal and your mobile phone.
NFC stands for Near Field Communication. When it came out,
it was a great candidate for a Bluetooth replacement, but its functionality has
been adapted. It allows you to exchange data between devices, the distance
between which is less than 20 centimeters.
Your card probably has this technology: contactless cards
are quite common; In fact, in establishments where they allow you to pay
without having to insert a card (just by bringing it closer to the POS), they
should also allow you to make payments from your mobile phone. The progression
is the same if you have a payment method set up on your phone, you just need to
zoom in like a card.
MTS is a system that uses several forms of payment, but it
has one main advantage: it works with any point of sale. All you requirement to
do is move the terminal closer to the slot where the card is inserted in order
to conduct the transaction.
Are mobile payments safe?
Yes. It would be pointless for banks and tech companies
alike to develop an unreliable payment method. The application hides your
banking information using virtual cards to protect confidential data and not
transfer it to the institution.
Another way of working is to store data encrypted and ask
for confirmation using biometric systems such as fingerprint or facial
recognition.
Is there a commission for mobile payments?
Currently, paying with a mobile phone is equivalent to
paying with a card, so there are no commissions from institutions or banks.
What is the minimum or maximum expanse I can pay from my
mobile phone?
Mobile payment works just like any other method, so you can
pay any amount. In local companies, the minimum cost for card payments is
usually € 10; they must set the same minimum amount for mobile payments.
Which merchants are compatible with mobile payments?
Now you can use this method in almost all institutions. Food
chains, franchises and businesses with mid to high price range products have
contactless technologies to enable these types of payments. Usually, shops
where this is allowed will have a symbol visible from the outside to indicate
that it is possible to pay with a smartphone.
How can I pay with my mobile?
Now that you know the characteristics of this system, you
might be wondering how to make a payment using a mobile phone. Well, the first
thing you need to do is check if your phone is compatible with this type of
technology. If your smartphone is equipped with an NFC chip, it can make
payments from your mobile phone. All you essential now is an app to manage
them.
- Otherwise, there are alternatives, and banks have their
own solutions so that no client is left without an alternative payment method.
- Many Asian manufacturers include limited NFC chips in
their devices, meaning they only work with payment methods or apps of the brand
or manufacturer. Check it out before purchasing a terminal and understand when
it is too late. However, this practice is becoming less common.
Set up your mobile
phone to make payments
To be able to make
payments from your smartphone, the first thing you need to do is activate the
connection. You can do this from the quick settings panel, which is displayed
when you drag your finger from the top of the device, or by going to connection
settings.
Then set up your
preferred payment method by following these steps:
Go to System
Preferences and enter Applications.
Click the Default
Applications option.
Once inside, find
the Touch and Pay option and, inside, select the app you want to use in a
specific way.
What are the
mobile payment applications? Are they compatible with my bank?
Even if your phone
is equipped with NFC technology, this does not guarantee that you will be able
to pay with your mobile phone. If your bank is not compatible with this type of
payment, you will not be able to use your phone to make transactions in stores,
but more and more organizations are allowing this due to growing demand.
Here is a list of
the different expense apps and banks that allow you to use them.
Google Pay
The California-based
company wants to place big bets on this payment method, and what was previously
known as Android Pay is now a universal platform for multiple devices under the
Google Pay brand. Banks that allow you to use Google Pay:
BBVA
Bankia
Edenred
Openbank
Banco Mediolanum
American Express
Spain
Prepaid financial
services
N26
Sodexo
Revolut
Bank of March
Insurrection
How do I use Google
Pay? Go to the Play Store and download the app. Once downloaded, link your
credit or debit card (payment method) or PayPal account if you have one. It
allows you to pay not only from your smartphone, but also from any device, such
as a smart watch. It couldn't be easier.
The best thing
about activating Google Pay is that it will be linked to your Google account,
allowing you to make payments across multiple apps and platforms with complete
security.
Samsung Pay
Samsung was one of
the first companies to bet on the introduction of this payment method in Spain.
His ability to take initiative has allowed him to position himself and leverage
his competitors. It is currently a payment method supported by the most popular
banks among Spanish citizens.
The subjects that
authorize the use of Samsung Pay are:
Abanka
Santander
Bankia
Sabadell
CaixaBank
Openbank
Cetelem
Imaginary bank
English court
WiZink
The only downside,
as you might guess, is that you need a Samsung branded device or wearable
device that is compatible and allows you to use it. There were rumors about
developing an application for Android devices, but this idea is excluded from
our borders and only exists in some Asian countries.
Setting up Samsung
Pay: The process is similar to the previous one. After downloading the
application, simply take a picture of the card with the camera to scan it, or
enter the data manually. And so it is!
Payment services
of each bank
In addition to the
developments of large technology companies, financial institutions should also
work. If you haven't seen your bank in any of the above lists, don't lose hope.
There are many banks in our country that have their own methods.
It doesn't matter
if your phone has NFC, there are covers for devices that, in addition to being
protected, include this chip. Many banks send you stickers home to stick to
your phone, and they also contain an NFC chip. List of banking applications for
payment from a mobile phone:
BBVA Portfolio
Santander Pei
ABANCA Pay
CaixaBank Pay
Liberbank payment
Kutxabank payment
Portfolio Sabadell
Ibercaja Pay
Openbank
Apple Pay
The Cupertino-based
company did not want to stand aside and, seeing the movement of its two main
competitors, decided to launch its own payment platform. Of course, you can use
not only the iPhone for payment, but also any device of this brand, for example,
the Apple Watch.
conclusions
As you can see,
mobile payment options are very diverse. Smart devices offer us more and more
options and make it easier and safer to pay than ever. If the bank you belong
to is not listed in this article, consult with an assistant at your bank
because they may offer you an alternative.
Mobile payments
today have a very high level of security and trust, perhaps even higher than a
credit or debit card. Phone payment technologies encrypt information during
transactions, making your data more secure.
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