We have witnessed enormous technological breakthroughs in the field of finance and payments throughout the years. Technology’s intervention has completely altered the way we make payments nowadays. We are no longer reliant on cash thanks to online banking, mobile banking, and mobile wallet payments.
New technologies are being used to improve the payment experience more than ever before. NFC contactless payments are one of these technologies.
This article will explain what NFC payments are, how they work, and their benefits. So, without further ado, let’s get started.
What is NFC?
NFC is a short form for Near Field Communication. It is a technology that allows people to securely communicate and receive information over a short distance using their phones. It allows for two-way communication. Magnetic induction is initiated when two NFC-enabled devices are within 2 inches of each other. The maximum data transfer rate is 424 kbps.
Modes of Transfer in NFC
Peer-to-Peer Communication
This mode permits data sharing between two NFC-enabled devices and is mostly used for file transfers between two devices.
Reader/Writer Mode
In this mode, one device is passive while the other is active. The active device reads the data from the passive device. Contactless debit/credit card transaction fees employ this approach.
Card Emulation Mode
Mobile payment apps use this mode; the device acts as a virtual credit card.
How Do NFC and Contactless Payments Work?
“Just Tap And Go.”
All a consumer needs to do to make an NFC and contactless payment is open their mobile wallet or app and tap their phone to a terminal. NFC terminals only connect with the phone, and data is encrypted. This makes it more secure than simply swiping a credit card. Because the reader only connects to one phone at a time, a client cannot pay for someone else’s transaction.
To accept payments, you’ll need an NFC-enabled countertop terminal or mobile swiper, as well as a credit card processor that supports contactless transactions.
Benefits Of NFC Contactless Payments
Good Customer Experience
Contactless payment transactions are secure and convenient. Customers do not have to spend additional time at POS checkouts because they can simply wave their mobile devices or cards at the POS terminal instead of typing in their PINs.
Secure Transactions
The use of tap-to-pay technology is safer and more dependable than other forms of payment. Tokens are used to hold card details, which are then delivered over the web during a transaction. In the event of a hacker attack, the real credit card information is not accessible while data is being transferred.
Fast Process
NFC contactless payment processing is quite quick, and payment-related information is exchanged between the payment device and the POS scanner in a matter of seconds.
Conclusion
NFC is a fast, convenient, and secure payment method that both users and small and medium-sized enterprises may use. With its numerous advantages and superior features, NFC technology is expected to grow in popularity in the future years. Look no further than Slidepay for a dependable platform for your NFC contactless payments! Simply submit your information to get started right now.
