#mobilepaymentnews

“HailoPay allows passengers to use their smartphone to pay for the journey with a credit or debit card by visiting a secure site, entering their driver’s badge number and confirming the payment amount,” service provider Hailo says. “Upon completing the payment, the driver receives a notification and the passenger receives a receipt on their device, which can be sent via email.”

‘U.S. merchants now have even greater incentive to upgrade to new dual-purpose card readers: the readers’ ability to accept smartphone-based mobile payments. Security-wise, smartphones can do everything smart cards can do and more. Smartphone users increasingly demand self-service options for accessing product information, receiving notifications and special offers and paying. And brick-and-mortar merchants have discovered that they can deliver superior shopping experiences to smartphone users through personalization and contextual engagement. Here are some options for mobile payments.’

Host card emulation (HCE) is the software architecture that provides exact virtual representation of various electronic identity (access, transit and banking) cards using only software. Prior to the HCE architecture, NFC transactions were mainly carried out using secure elements, which were integrated into carrier-issued SIM cards.[1]

HCE enables mobile applications running on supported operating systems with the ability to offer payment card and access card solutions independently of third parties while leveraging cryptographic processes traditionally used by hardware-based secure elements without the need for a physical secure element. This technology enables the merchants to offer payment cards solutions more easily through mobile closed-loop contactless payment solutions, offers real-time distribution of payment cards and, more tactically, allows for an easy deployment scenario that does not require changes to the software inside payment terminals.

While the Federal Reserve outlined a plan to update the ACH payments system, Mastercard has enabled a payment system that allows merchants to skip ACH and use established debit card networks to send funds much faster. Mastercard Send will allow money transmitters to send funds directly to a consumers checking account. These business to consumer disbursements have various uses such as for insurance providers, online merchants and other services that must reimburse, pay or transmit funds to any consumer.