Mobile Payment

Mobile payment is a point-of-sale (PoS) transaction done or received with a mobile device. Mobile payments are also getting popularity not only for their convenience but also for their safety, because the credit card data is not saved on the merchant's PoS terminal with many types of mobile PoS systems. The customer's mobile device actually becomes a security token that generates a random code for every transaction. Depending on the technique used, the token can be transmitted to the wind (OTA) or the user can enter manually in the keypad.

When consumers use mobile payments, merchants and mobile payment service providers share responsibility for the protection of consumer data. The specific division of responsibility between the merchant and the payment processing service provider varies depending on the type of device, the software and the specifics of the services in use.

Mobile payment term also includes techniques that allow merchants to use mobile devices to accept credit card payments. In February 2013, the Payment Card Industry Security Standards Council (PCI SSC) issued guidelines for educating traders, including risk factors associated with using mobile point of sale terminals. Guidelines include recommendations for three important ideas that affect all mobile PoS systems:

How to prevent the data from being interrupted when the merchant's mobile device is entered.
How to prevent account data from being compromised if processed or stored within the merchant's mobile device.
How To Stop Account Data From Interpenetration On Transmission From Merchant Mobile Device.
The techniques used for mobile payments include Near Field Communication (NFC), Bluetooth, WiFi and RFI, a short distance transmission system. Companies such as Apple, Google, Samsung, Android, PayPal, and Square are the companies that provide mobile payment systems.