How Covid-19 is Changing Payments

In the last few weeks you have probably purchased something and/or paid someone in a different way than you had before. Whether it was through a website, over the phone, or simply with a credit card instead of cash or check, the pandemic has changed the focus to the safety of customers and employees. 

It has also changed how businesses and organizations take payments, and how consumers feel about payment methods. Many businesses no longer accept cash due to the potential spread of germs. Many consumers are fearful at the thought of having to touch a pin pad or use a pen on a POS (point of sale) terminal when they don’t know how many people have touched these same items. In short, consumers are making more purchases online and over the phone than ever before. 

Contactless is now King!

As long as this pandemic continues to be a public health crisis, in-person payments are going to change. The reality is, cash harbors germs and people don’t want to push buttons to enter a pin number or touch things. Even when this crisis is over, the increased public awareness, anxiety and preparation for future pandemics could very well make these changes permanent.

In an effort to protect customers, employees and the general public, businesses are attempting to transition away from accepting in-person payments as much as possible. For businesses that must rely on POS terminals, we anticipate more adoption of NFC (Near Field Communication) solutions such as Apple Pay, Google Wallet and Contactless Chip Enabled Credit Cards. These solutions enable consumers to make their purchases without the need to enter pin numbers, signatures or even touch POS terminals. Clearly, this is one of the most sanitary ways to accept payments and is also (surprisingly), the most secure method of payment. In fact, signatures are no longer required by the credit card companies for any reason, as long as you accept an NFC or chip payment. NFC and contactless payment methods, coupled with social distancing practices, not only ensure safety in health and security, but also increase consumer confidence. 

If you have any questions or would like to discuss your options for shifting to NFC payments, reach out to Team Merchant today. Our knowledgeable payment experts are here to help you reduce fees and find the perfect solution for your business.