With most of us now possessing contactless credit and debit cards, it is important for business owners and leaders to get to grips with the technology. If you’re interested in finding out more about contactless technology and how it could benefit you and your business, take a look at the following helpful facts:
Contactless technology is smart card technology
The technology we frequently refer to simply as ‘contactless’ is actually contactless smart card technology. Contactless smart cards are able to communicate wirelessly with card readers using short-range radio frequencies and are able to offer high levels of security to protect customers’ financial information and identities.
Widely in use
Millions of people worldwide use contactless technology on a daily basis. As well as being used to process payments, the technology is contained within ePassports and other kinds of verification documents.
More secure than traditional magnetic stripe payments
Thanks to its use of encryption and verification processes to prevent cloning, contactless technology is actually more secure than traditional magnetic stripe technology. Indeed, every transaction made using contactless payment technology generates a dynamic code that must be validated by a payment terminal before it can be authorised. This makes it very difficult for criminals to replicate cards and steal from unsuspecting victims.
Faster than traditional payment methods
Contactless payments are much faster than traditional payments as they require only the tap of a payment terminal. In this way, facilitating contactless payments is a great way to put customer needs at the forefront of your business strategy.
Contactless payments are most commonly used in retail stores with point-of-sale (POS) technology. Increasingly, however, they are being used by the transport industry to allow commuters to pay for buses, trains, or trams.
Can be put in your mobile device with NFC
Mobiles that are NFC-enabled contain in-built smart chips that allow users to securely store their bank account details in a digital wallet. These mobile devices can then be used to conduct virtual transactions via an application that operates in the same way as contactless payment cards.
Contactless transaction can only be made when you are very close to a reader
One of the main concerns expressed by users of contactless technology is that transactions will be made without their consent if their payment card gets too close to a reader. This is not the case, however. A smart card will only be read if it is placed within four inches of a reader.
As you can see, therefore, contactless technology is one of the safest and easiest ways to pay for goods and services. With its popularity only set to increase, it is imperative that businesses make the most of this trend. Get in touch with Tmob to find out how you could benefit.