Contactless Payments – Will We Ever Go Back to the Way Things Were?
COVID-19 is having a profound effect on personal protection and what physical contact at business checkouts means for individual safety. Prior to the coronavirus, people did not consider how they would swipe or insert a credit card without touching a card reader or POS terminal. What were everyday transactions are now risky interactions people are unwilling to take. This paradigm shift has ushered in a new age of contactless payments.
What are Contactless Payments?
A contactless payment uses radio frequency identification technology to make secure, touchless payments with a credit card, debit card, smart card, smartphone, key fob or other devices. People hold a card or device near an RFID until a signal is sent and the payment is processed. Contactless cards are identified by a wave emblem on the front, which looks like the wi-fi symbol on electronic devices.
Why are Contactless Payments the Next Normal?
As a reaction to COVID-19 people have become extremely cautious when touching any widely used surface areas due to fear of virus transmittal. As people started using contactless systems for convenience the safety of contactless payments increased in popularity. A consumer survey found one in five people used this form of payment for the first time since the onset of the COVID-19. The same survey said 57% of respondents would continue using this purchase method. Additionally, 78% of global consumers report they have changed the way they make payments.
A Model for Changing Times
Contactless payments bring the safety both consumers and businesses require. They are also fueling a global mindset toward electronic payments as the new standard.
Paragon Payment Solutions is an industry leader with the innovation and expertise needed to meet these rapidly changing times. Learn more about how our solutions are built to evolve with minimal integration for software providers.