A digital payment solution have surely paved way for financial sector with essential indications of technological progressing in a right direction. The primitive methods of payments suggest o traditional lifestyle. However, current payment trends powered by innovation boast technical Fintech accomplishments as seen nowadays.
Digitisation of payments has gone through a massive dive in the direction of accomplishing a simple, beneficial, fast, and strong online digital payment app. Arguably, digital payment transformation have observed large progressions in the span of last couple of years with more changes anticipated in the coming future. Let us look very closely towards the current digital payment patterns not just in 2020, but future years to come.
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The Current Digital Payment Patterns
- Verification done biometric way
Not just today, but it won't be surprising to see authentication done via biometric source scanning biological and structural features of a person. Fingerprint scanning is quite common with a digital wallet solution but what you can now expect is authorisation taking into consideration various other physiological features like arteries and veins scanning, nerves scanning, heart beat scanning, eye recognition, facial recognition, and so much more.
With fraudulent activities taking place too frequently, it is not surprising to see billions of biometric scanning of individuals taking place all across the globe.
- Codes taking over payment cards
It is quite common to see bank transactions and customer authentication being done through cards. However, slowly and gradually, the EMV technology (Europay, Master Card, Visa) has taken over by storm through a more computerised approach in the form of codes that can process the transactions. Such short-lived temporary codes by means of a mobile money payment solution improve safety and security in bank accounts.
- Mobile Point Of Sale (mPOS) in demand
Mobile Point Of Sale (mPOS) is an advanced technology as it liberates sellers from in-store settlements to have brick-and-mortar places all set up. This further enables them accept flawless payments from customers.
Further, mPOS technology produce a significant distinction in the digital payment solution of a store by having it an even more versatile appeal and by substituting centralised location of purchase and billing.
- Voice based payment processing
Today, it is all about voice commands for getting information about different points whether be booking a taxi cab, ordering food online, seeking traffic at different locations, climate updates, so on and so forth.
Going by the facts from Statista, 35% customers make use of awesome smart speakers for purchasing things like clothes, groceries, home care services, and on-demand services. Surprisingly close to 28% customers as per same research use smart speakers in a digital payment app over Internet.
- Machine Learning and Artificial Intelligence (AI) security
Protection is one of the most critical components of a digital wallet solution whenever it relates to settlement. Individuals constantly choose using a settlement strategy that possess a high protection. Hence, remittance innovation is incomplete without a top-notch high-grade protection. Banking and other financial institutions get a bunch of client information and payment related information each day.
To detect a number of possible dangers within seconds, financial institutions are currently taking the assistance of AI based machine learning. A mobile money payment solution is really the ultimate step leading to expert system. Banks continuously feed their program with various brand new technological updates.
The software application takes a group of limited purchases to locate scam based fraudulent transactions in real-time. As the software application gets much more scalable, it keeps identifying the fraud transactions. The most effective instance of this is when you receive any kind of content coming from banks with no human intervention delivering texts.
- Payments go contactless all over the place
Contactless payments are an additional payment strategy that has gain momentum in this year due to the COVID impact. As it says, the contactless repayment permits the clients to merely wave their smartphone so as to carry out transactions wirelessly. This method of swapping is way faster and beneficial saving so much of time and carrying around cash.
Contactless settlements are not just amazingly faster but even highly protected via PIN innovation facilitating transfer of encrypted data instantaneously in a digital payment solution. Several businesses like Google, Apple, Samsung are having their sources of contactless settlement with the likes of Google Pay, Apple Pay, Samsung Pay. Contactless settlements are made feasible due to NFC (near field communication) modern technology. That is the reason they are termed NFC payments.
- Mobile wallets is the next big thing
RetailDive conducted a research and found that more than 2 billion individuals are such who used a digital payment app in 2019 and this number is surely not seeing any decline in 2020 and future for that matter.
A mobile wallet is simply a mobile application that act as a digital replica of a real wallet storing all the necessary payment details. With the aid of a mobile wallet, one can easily go for a money transfer across individuals, and in addition adding money to the wallet. A mobile wallet also plays an instrumental role in paying out bills, receive cash backs, do bookings, purchase tickets, pay bills, and a lot more.
Large businesses like Apple, Google, and Samsung have their own digital wallet solution. In next coming years, it won't come as a surprise as more companies have their very own branded wallet. In simple terms, a mobile wallet is composed of a Fintech app qualities such as being effortless, fast, and cashless remittance backed by a secured encryption.
The Anticipation Associated With Mobile Payments
A mobile money payment solution do have a potential future in place. In coming years we will have payment processing transitioning from physical money to electronic remittance. Much of the discussed fads will do play a major role in framing the path of Fintech solutions and only time will say how it will all go through.
Nikunj Gundaniya, Product manager Digipay.guru, one of the leading Digital wallet solutions, which provides mobile finance application development services. He is a visionary leader whose flamboyant management style has given profitable results for the company. He believes in the mantra of giving 100% to his work.