Somehow I always thought it was just a matter of using the phone’s NFC chip to mimic the credit card, but a shop owner told me they actually take a cut. Is it bullshit or have I been naïve?
Somehow I always thought it was just a matter of using the phone’s NFC chip to mimic the credit card, but a shop owner told me they actually take a cut. Is it bullshit or have I been naïve?
They’re processed through the same payment networks, it’s just a different method of creating single-transaction authorizations similar to tap-to-pay with a card’s EMV chip.
If anything, from what I’ve read the phone payment methods lead to fewer chargebacks by virtue of doing biometrics before transactions.