SMS Payments

SMS Payments are currently one of the most popular methods of using mobile phones to pay for goods or services, or even for person-to-person payments and many experts believe that due to the simple nature of SMS payments, the fact that all the user needs is a phone with SMS capability, SMS payments will continue to be a growth area in mobile payments.

But in addition to these text payments there are two other methods of using mobile phones to pay for items and services.  These are NFC payments and WAP payments.

NFC Payments

Near Field Communication (NFC) payments are a growth area in the field of mobile payments.  NFC phones communicate with each other and with NFC enabled points of sale, using radio frequency identification.  The mobile phones don’t have to touch the point of sale or each other to transfer information, i.e. money, but they have to be fairly close within four inches/ten centimetres of each other.

In China NFC is accepted as a means of payment on all public transport and in Japan NFC is also being used to provide identity card information.  In Nice visitors and residents can use NFC to purchase almost anything.

NFC involves a direct, almost instantaneous transfer of data between phones or phones and Point of Sale devices and many mobile phone operators are looking at ways to further develop this technology.

WAP Payments

WAP Payments simply means using the Wireless Application Protocol (WAP) facility on your Smart phone to connect to the internet and then using an online payment method such as PayPal, Google Wallet or Yahoo Wallet or simply entering your credit card details into the payment box on a company’s website.

Some mobile network operators allow users to pay for WAP Payments directly from their mobile phone bill as with standard SMS payments.  Companies wishing to accept WAP payments need to talk to a SMS payment solutions company to ensure they get a WAP payment gateway installed on their site.


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