transactions where a customer can make a payment for goods or services without physically touching the payment terminal. This is typically done by tapping a contactless-enabled card, mobile device (like a smartphone or smartwatch), or another wearable device equipped with near-field communication (NFC) technology against a compatible reader.
The process is quick, convenient, and secure, with many financial institutions and businesses adopting this technology to streamline transactions. It’s especially useful in situations where speed and efficiency are essential, such as public transportation, retail stores, restaurants, and other points of sale.
Contactless payments offer benefits such as faster transaction times, reduced need for physical cash handling, and enhanced security features like tokenization and encryption to protect sensitive payment data. They’ve become increasingly popular due to their convenience and the growing prevalence of NFC-enabled devices.
