How do Mobile Payment Apps Work?
First, let’s take a look at how payment apps work. Mobile payments refer to the use of smartphone devices to pay for a transaction. These devices use an app, or application, to send and receive money digitally for payment processing. People using portable devices to pay for things in-store utilize a technology known as NFC, or Near Field Communication.
Mobile payments fall under a specific category of payments, as they are referred to as Card-Not-Present transactions or CNP. Other payment methods such as e-commerce and online, phone and mail orders, recurring payments, online invoices, and any transaction with no physical card, falls under this category.
