Home Finance How Technology Changed the Mode of Conventional Payment Options?

How Technology Changed the Mode of Conventional Payment Options?

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The way people make payments for each transaction they make has changed a lot over the years. The highest security measures and regulations, enhanced technology, and rising needs for customer convenience have entirely transformed the way we used to pay our bills for goods and services, EMI for loans, rent, and other utility bills.

Initially, cash was the predominant mode of payment. Then we had plastic cards in the form of debit and credit cards that enabled customers to have thin wallets but large purchasing power.

The rise of technological advancement has made it possible to offer a unique shopping experience with utmost safety and flexibility to pay utility bills. This post talks about how technology has changed conventional payment options.

  • Contactless Payments

Contactless payments add great convenience and speed to the overall payment process. Along with European markets, customers in India also started using the contactless payment option. All they need is to simply tap their respective cards on the payment acceptance and proceed to pay the bill.

Though the concept of contactless cards is quite new, mobile wallets like Google Pay and Apple Pay use contactless technology to enable customers to simply use their smartphones to complete the payment.

  • Peer-to-peer (P2P) Applications

There are innumerable Peer to Peer applications being used in the industry for making payments like Apple Pay Cash, Zelle, PayPal, Venmo, etc. These platforms offer an easy way to transfer money.

Initially, these platforms were developed to transfer funds between peers. Lately, P2P applications are integrated with ride-sharing applications like Uber, Lyft, etc., to enable the customer to pay the charges easily.

  • QR Code Payments

QR codes have been in use for a long time now, starting from couponing, ticketing and advertising to the restaurants, and accessing menus. This method has been very effective in offering an excellent customer experience.

Payments through QR codes have become very popular in India and are in great use among small, medium, and large enterprises. Based on the size of the business and other goals, QR codes can be useful for most merchants as it offers them easy access to accept payment from clients. Now you can also pay your credit card bills and using the QR code payment option.

  • Mobile Point of Sale (POS)

Mobile POS is another advanced technology that has completely redefined the payment landscape. Mobile POS does not just enable businesses to accept payment securely no matter the customer is but at the same time, it also creates a unique experience that goes a long way in fostering trust as well as loyalty.

Initially, it was perceived as a solution for small and medium scale businesses, but now it has become an important consideration for enterprises. Mobile POS has made it possible for customers to checkout no matter wherever they are and has gained great popularity over the years.

The way we pay our utility bills has almost become invisible, and professionals working on the technology are looking forward to creating more ways to eliminate friction from the process. The overall payment technology has become extremely secure, fast, and fun. Please share your insights for your preferred payment option discussed in the post. You can also talk about other options below in the comment section.