There is a chance that you might not even know what an NFC payment is. NFC stands for Near Field Communication. In other words, contactless payments such as Apple Pay or Samsung Pay. This isn’t new technology. It is technology that has been around in one form or another since 1997. Consumers have never really caught on the way it was intended. Whether you use your smartphone or an actual NFC credit card, the transactions are lightning fast and are safer than using an EMV card in a chip-reader.
This week, Samsung adopted PayPal as another form of payment for customers using the Samsung Pay app. You can link your Samsung Pay account to a credit card, a bank account and now, your PayPal account to make payment to merchants using NFC readers.
PayPal users who link their PayPal accounts to Samsung Pay will receive a virtual account with a $5.00 balance that can be funded using a network-branded debit card, bank account or of course, their PayPal balance to make payments at brick-and-mortar merchants. As an enhancement, PayPal users receive reward points each time they make a payment using their PayPal account. Samsung Rewards gives users points based on their spending that can be redeemed for gift cards or items for purchase in the Samsung online store. Those who sign up early for the service will also get 1,500 bonus points.
The move is intended to help drive adoption of this technology and encourage consistent usage by rewarding consumers for using Samsung Pay and PayPal at their favorite merchants.