Contactless technology is nothing new. It’s been with us for over two decades now, and countless businesses and institutions around the world use it today to conduct transactions, easily, quickly and securely. In fact, Visa says that 48% of its in-person transactions (excluding the U.S) are contactless. This includes more than 50% in Canada and the U.K, and a staggering 90% on Australia.
Contactless technology is not only here to stay but is also expected to grow and become even more widely used in the coming years. Over the course of this blog post, we’ll lay out the top 4 things you should know about contactless technology, and why it’s widely considered as the future of payments.
Contactless Technology and Smart Card Technology are the Same Thing
Contactless technology is basically short for contactless smart card technology. Smart cards that feature contactless technology feature small, sophisticated computers that can communicate with card readers through short-range radio frequency. Contactless smart cards are generally considered to be the safest when it comes to protecting your personal and financial information.
Contactless Technology is Used by Millions around the World
Contactless technology is used by tens of millions of people every day for fast, convenient and secure transactions. It’s used in identity card, passports, transit fare cards, and bank payment cards.
Some notable examples of contactless smart card technology applications include:
- The ePassport issued by the US Department of State.
- The contactless payment devices and cards issued by Visa, MasterCard and American Express.
- The First Responder Authentication Card (FRAC)
- The Transportation Worker Identification Credential (TWIC)
EMV Technology Will Make Contactless Payments Even More Popular
Many businesses and institutions in the United States are moving to secure EMV chip technology. Major payment brands such as Discover, Visa, American Express, and MasterCard have already introduced roadmaps for migrating the US to EMV chip cards. This means that, in the near future, all payment cards—either contact or contactless—will feature secure smart card technology. This change to the payments infrastructure in the U.S is seen by many analysts as a catalyst for the growth of contactless payments.
The Bottom Line
Compared to other countries, the United States is still behind when it comes to the adoption of contactless payments. However, with the emergence of EMV technology, that is now set to change. Contactless technology is definitely the future of payments.
In today’s world of too many options, consumers are looking for better, faster and more secure payment solutions. Convenience is an essential requisite which is why Contactless Unattended Device is the one you should invest in for your consumers. Get in touch with Uniform Industrial Corporation and explore all your options!