IoT Payments Solutions Overcome Traditional Card Terminal Boundaries

IoT payments are the wave of the future when it comes to exchanging currency. According to LetsTalkPayments.com, new apps, operating systems, and hardware are being developed to accommodate this trend: "Internet of Things is attractive for fintech, not only for software and hardware developers, but also for banks and other FinTech companies to enable innovative payment experiences and provide wide range of methods to accept payments using NFC chips, payment apps, sensors, tracking devices, etc."

Indeed, Visa, MasterCard, American Express, and other credit card and banking companies are all jumping on the bandwagon, racing to implement Internet of Things payment services. In particular, they are targeting wearable and carry-able devices, such as watches and key chains, thus appealing to costumers' senses of fashion and sleek design. For example, an October, 2015, article in Mobile Payments Today states that "MasterCard announced at the Money20/20 conference in Las Vegas that its initial partners in this endeavor include fashion designer Adam Selman, automotive giant General Motors, wearable technology company Nymi, smart jewelry company Ringly and Bluetooth locator TrackR."

Beyond fashion, safety and security are key benefits of the new technology. According to an August, 2015, blog on Transfirst.com, "In the payment space, the Internet of Things is evident in digital wallets that securely store a user’s payment information and passwords, enabling consumers to use an electronic device to make transactions." Such devices will keep passwords secure while their owners carry their "digital wallets" on their wrists and in their purses and briefcases.

So get ready to join the wave of the future with IoT payments. You will join a growing number of businesses accepting payments from wearables, garments, motor vehicles, and mobile devices.

Netclearance offers a complete portfolio of IoT gateways and end devices to implement your IoT payment strategy. Contact us to learn more.

Driving to incorporate IoT payments in wearables

Use cases for IoT payments abound. From keyfobs to wearables, they're beginning to show up everywhere. The biggest attribute it must have is that it is something precious to the user that they take with them everywhere, and that isn't lost or misplaced regularly. 

Many banks and card companies are looking towards wearables more than most other options, from rings to watches to fitness bands. American Express announced in April that it partnered with Jawbone for its UP4 band, using NFC technologies, a variation on RFID. Some estimates are that wearable proximity payments will be $501B by 2020.

Mastercard has also jumped on board. In October, they announced:

"The program will launch with the support of several marquee partners across multiple verticals to fit every lifestyle need. Designer to the stars Adam Selman, automaker General Motors, wearable technology innovator Nymi, smart jewelry company Ringly, and Bluetooth locator TrackR are among the prominent consumer brands enabling their products through the program."

The product makers plan to put IoT payment capability into clothing, keyfobs, wristbands and rings, among other items.

PayPal is working the process from the app direction, with apps for wearables containing most  of the functionality of the web-based program, and of course iPhones were at the forefront of IoT payments.

Many of these payment structures have been built like a house with many wings, adding on as they went. The state-of-the-art mBeaconPay platform has been built from the ground up to support all these use cases.

If you're in the market for your organization to develop proximity payment capability in wearables or other candidates from the IoT, we can help.

Nominated in the Best Cash Innovation category by PYMNTS.COM