How Samsung Pay Will Impact 2015
Everyone is familiar with Pay Pal and the convenience it has well introducing the new capability to mobile phone users, Samsung Pay. Even though this new feature will not become fully available until sometime in summer, the features of Samsung Pay will be quite appreciated as they will provide large merchant advantage over the current Apple Pay and Google Wallet that are both being used at this time.
Let us begin discussing these wonderful benefits of what Samsung Pay will provide to the consumer. Because Samsung has recently acquired LoopPay, the consumer will now have the ability to safely secure credit cards within his or her Samsung phone and have the ability to pay using one of the stored credit cards. This benefit is a consumer option that can be used at point-of-sale terminals within the United States and as of now the POS technology is at 90% growth across the USA.
The LoopPay technology has been incorporated into the Samsung Galaxy S6 and the Galaxy S6 Edge both of which are smart phone devices. Even though these smart phones give users NFC chips to tap-and-pay each transaction there is another option available with Samsung Pay because there is benefit of technology and communication. When the tap-and-pay capability is not available at a merchant there will be something called Magnetic Secure Transmission technology that is present. That technology will provide communication using a magnetic stripe reader present on all terminals. Samsung Pay will sense which pay option is available and adjust itself accordingly.
Samsung Pay has a dual-approach which means more merchants have the ability to accept the mobile wallet without having a hardware upgrade. This is actually quite exciting for merchants because the many Tier 1 merchants updated terminals due to the EMV liability issue in October. Thankfully, the Samsung Pay will work regardless of the situation because of the contactless function.
The Samsung Pay specifications are quite a resemblance to Apple Pay as consumers can load his or her credit card information into the Samsung Pay application and a specific token is used for encryption to hide security numbers and protect them from being released. The wallet also provides the security protection to the user in which he or she can use a fingerprint for authentication. Samsung Pay has the support of the major credit cards (American Express, Master Card, and Visa) plus they also are obtaining premium payment processing support through First Data. Other financial guidance of Samsung Pay is by Bank of America, Citi, JP Morgan, Chase, and U.S. Bank.