Whilst we are now all familiar with the chip and pin point of sale card terminal many more of us are happy to tap our card using contactless technology. There are now many ways to load your card or use your bank account by tapping your phone on these terminals.
Businesses are now finding it much easier to accept money from their customers by ensuring they can accept whatever payment is available either card, contactless or mobile payment.
These are small devices you can link up to your mobile payment phone or tablet to accept mobile payments for your business wherever you have mobile signal. Perfect for a business on the go.
It has never been easier to accept mobile payments for your business, if you already have a MOBILE PAYMENT PHONE and are a sole trader, limited company, partnership or charity you just need a business bank account. You will also need and a payment service provider (PSP) or mobile card reader.
Mobile payment system costs depend on how complicated your solution is. A simple mobile payment card reader can be as little as £30 and anything up to £100. The monthly costs are also variable and typically a percentage of the monthly payments you take. Starting at 2-3% per month and dropping to as little a 1% if you are taking around £40-50,000 a month.
What Mobile Payment has found some of the best mobile payment devices on the market. You will normally buy a small devices that allows you to accept credit and debit card payments using a mobile device like a tablet or mobile phone.
The card or mobile reader is usually connected wirelessly to the mobile device using a Bluetooth connection. A customers payment card is inserted into a special slot in the reader which allows the payment card's chip to be read. The customer will authorise the transaction by entering their 4 digit PIN into the device's keypad. Most devices now also support contactless and mobile payments.
With the ever increasing use of mobile devices, particularly the iPad and iPhone, mobile card readers are becoming as normal as credit card machines it all just depends if your customer will now want to tap their card or their phone.
Mobile Card Reader
NFC - Merchant advises customer the amount to be paid. Customers then “tap” their mobile payment phone on the reader. In some instances, customers may need to enter a PIN into their phone, use their fingerprint or authenticate the transaction setup with their chosen payment provider.
P2P(Peer to Peer or Person to Person) - Customers apply for a secure account with a payment service provider, often assigning their main bank account or credit card to transfer and accept funds. From the Mobile App, customers can choose to send money to the merchant’s account to pay for goods or services. Users are generally identified by their email address or mobile number.
Mobile Money Transfer
Type A: merchants generate a transaction for the full payment amount (Maybe a restaurant). Customers then open a Mobile App and a QR Code generated for the transaction. Merchants then scan the QR Code, and the amount is deducted from the customer’s wallet.
Type B: customers use a Mobile App to scan the QR Code displayed by a merchant. The Mobile App is able to identify the merchant. Customers then add the amount to initiate and complete the payment.