4 reasons why consumers love contactless
The market for contactless cards is expanding rapidly. The popularity of smart contactless cards is due to obvious benefits for business, and also for consumers. With speed, ease of use, and versatility on their side, contactless cards are fast becoming the cards of choice for consumers.
What is Contactless Technology?
Contactless cards or proximity cards are designed to be used without the need for inserting a card into a reader. There are different types of contactless cards including multi-application technology smart cards, low-frequency cards, and microwave frequency cards. Contactless cards allow communication with the reader using radio frequency so there is no physical contact between the reader and the card.
Contactless cards are used in a variety of settings including on public transport, in cashless vending machines and cafeterias, for road tolls, in universities, and as ID for workers in corporate and public sector environments.
How to Use Contactless Cards
Consumers find contactless cards simple and quick to use. These cards are a modern way to purchase items and to sign into IT systems or to enter buildings. You simply wave or tap the card on or in front of the terminal. Of course, as the name suggests, there is no need to touch the terminal or reader, although many consumers prefer to do this. Smart card reader technology has developed so that there is no need for a PIN or a signature.
Consumers can see there is a facility for contactless payments by the contactless symbol. When this is displayed, they can make payments up to a certain monetary value without a PIN or signature. An approval or confirmation message will show up on the reader to notify the consumer that the payment has gone through. Receipts are not always given but they can be requested from the vendor. There are a variety of contactless devices including debit and credit cards from the major issuers, mobile payment devices like Apple Pay, wearable devices like wristbands, key fobs or identity cards, and stickers.
Benefits of Contactless Cards
1. Convenience
Consumers do not need to put in their PIN or sign anything. This inevitably speeds up the process of the transaction and it is much more convenient – no more struggling to remember a PIN or inputting the numbers on a fiddly keypad. It is more convenient to wave a card at a reader than having to insert it into a reader and wait for the transaction to complete.
2. Security
Contactless technology offers peace of mind for consumers, who know that they are protected against identity theft and fraudulent transactions. Retailers do not have any access to personal information, nor do they store signatures or names. It is a much more secure way of paying, particularly because hackers are not able to steal information from the card due to the encryption technology.
3. Reduction in Errors
There’s no danger that someone will forget their PIN and enter the wrong information. There is also no danger of causing the card to be blocked due to inputting the wrong PIN.
4. Quicker
Contactless generally means shorter queues and more time doing other things rather than waiting to pay and for a transaction to clear.
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