Payment innovations from the past 5 years

As human beings we strive for convenience and safety. In fact, according to a study conducted by Vocalink, there is a huge demand for faster and more secure payment systems. 

These banking innovations show just how much the industry has developed over the past five years.

Zapp

Zapp is soon to be released (2014) and will provide the simplest way to make payments via a mobile phone. By using the Zapp system you won’t need to pass on any of your personal information – not even your bank number – when you buy something. In addition, the system allows you to see your bank balance before you buy anything, which not only aids convenience, but will lead to better finance management.

Paym

Paym is the Payment Council’s mobile payment service. The service provides a safe and secure way to pay for items using a mobile number. The Paym service is used by most of the UK’s banks such as Barclays, Natwest, Lloyds and Halifax. 

Adrian Kamellard, the chief executive of the Payments Council, told Computer Weekly that the Paym system is the result of industry collaboration and the desire to reassure customers that digital technology is secure. Paym is currently (as of 2014) linked to 90 per cent of the UK’s current accounts. This figure is only set to increase as more and more banks sign up in the future. 

App Stores

The iPhone App Store and Google Play have made it possible to download and use third party payment processors that can digitally store cash. Many businesses will even accept payment through these processors, allowing them to accept overseas transfers without incurring costly bank charges. Some people even choose to use third party applications in favour of retail banks in order to bypass excessive fees and keep their money secure. While most third party applications are free of charge, they may require a small percentage to send or receive payments. 

Digital Signatures

Digital signatures are arguably safer than traditional payment methods. When a digital signature is required the data will be cross-referenced with a library of signatures. The information will, in turn, be analysed to ensure that it’s authentic. The same process takes place when companies issue e-Receipts or conduct visual scanning. All of this information is also forwarded via a 128-bit encryption to make sure that it is completely safe. 

Barclays Pingit

Barclays Pingit has set the bar high for other banking applications. The service is completely free to download and compatible with most smart phones. Barclays Pingit allows you to transfer money, make payments and view your bank statement in a matter of seconds. You can even send money to other Pingit users by simply typing in their phone number. 

More people use mobile technology to organize their lives every day, and the banking industry is striving to adapt to these changes. This is resulting in huge strides in technology that are making our finances safer and more secure than ever before.

Aaron Hopkins is a professional writer.

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