EMV and NFC payment modes are changing the entire ecosystem of payment. With the advancement of technology, everything is getting an advanced shape and the payment industry is not an exception. Yes, if you think about the past, people used to have hard cash. People used to carry cash in their pockets and they used to make offline transactions. But, the picture is completely different in the 21st century. If we consider the present situation, everyone has credit cards and debit cards. As a result, people give more importance to online transactions. Moreover, COVID-19 has changed the entire ecosystem of payment. Yes, people are now making contactless transactions in the retail shops
Well, contactless transaction is not a new thing but, the problem is that people are not habituated to it. But, the coronavirus outbreak changed everything and nowadays, everyone is making a contactless transaction. We at International Payments Solution understand this situation and therefore, we have also introduced some of our advanced payment solutions through which merchants can accept credit card payments. Well, in such a case, the consumer does not have to touch the payment terminal. When it comes to contactless transactions, EMV and NFC payment titillate our minds. Most people get confused between these two. Therefore, we have made a brief breakdown of these two so that you get a concrete idea about these contactless payment modes.
What is EMV Payment?
Credit cards and debit cards that have a small computer chip are used to make EMV payment. The chip used in the cards generally communicates with the payment terminal and it ensures that the cardholder is not a fraudster. The best part of EMV payment is that consumers can use any sort of device such as a smartphone or smartwatch to make EMV payment. But, the device must be compatible with EMV payment.
However, the merchant has to process the transaction using any EMV enabled processing device. Otherwise, the merchant will be responsible for any sort of fraudulent activity. Well, there are different types of name given EMV payment transactions such as “Chip and Pin” and “Chip and Signature”. If the cardholder is using the EMV supported credit card to make online bill payments, he or she has to put the chip on the credit card into the payment terminal and enter the PIN to complete the transaction. In some scenarios, the cardholder has to sign the receipt in order to complete the transaction. EMV payment is highly secured and this will surely overtake the magstripe cards that are popularly being used at present.
What is NFC Payment?
NFC is a very popular technology through which people can make contactless transactions. Well, NFC is not a new technology and it has been being used in different sectors for years. But, when it comes to the payment industry, NFC brought revolution. If a credit card or debit card is NFC enabled, the cardholder just needs to hover the card over the payment terminal and thus the person can make the contactless transaction. There are different names inextricably associated with the NFC payment such as Tap and Go, Tap and Pay and many more.
If we consider the present situation, there are many companies using this latest technology. Apple has integrated NFC technology in its Apple Pay and on the other side, Google has also added NFC payment in its Android Pay or Google Pay.
Are They Better?
Well, the risk is on the higher side when it comes to card-present transaction and therefore, some people might have problem to purchase things using EMV payment. But, you might be surprised to know that EMV payment is completely secured. It basically adds an extra layer of security and therefore, fraudsters cannot implement their illegal activity. In the case of EMV payment, a unique transaction ID is created and the best part is that fraudsters cannot replicate this code. Moreover, the EMV enabled cards are more advanced than magnetic stripe cards.
On the other side, if we talk about NFC payment, it is more reliable. Yes, in case of NFC payment, cardholders do not bring cards. They can make contactless payments by just hovering their NFC enabled device over the payment terminal. But, everything has positive as well as negative aspects and NFC payment is not an exception. In such a case, the consumer cannot make transactions more than $100. If they want to make the transaction more than $100, they need to go with EMV payment.
Not An IPS Merchant?
By now, you have probably understood that NFC and EMV payments are highly secured. Now, if you want to accept NFC and EMV payment, you must pair your business with a merchant processor solution. International Payment Solutions is one of the most efficient payment processors and you can easily take your business to the next level with the help of its advanced payment solutions. So, what are you waiting for? Get in touch with us.