How Paying via Mobile Phone is becoming more common

Mobile phones have made a huge impact on society over the last fifteen years or so. Two decades ago they were a rare site but now almost everyone owns one. Over this period there has been a big shift in the way that mobile phones are used as their technology has developed. They are no longer simply telephones, where you can make and receive calls and text messages, but they now also serve as cameras, MP3 players and web browsers. 

One task mobile phones can be used for these days is to pay for products and services. Of course, any payment that can be made over the telephone can be done via a mobile phone, but there have also been other initiatives developed that make certain forms of payment simpler. Some of these are where payments are made via a credit or debit card, whereas in other circumstances it can be added to a phone bill. 

One of the most common payments that can be made via a mobile phone is for parking, something that could, in most cases, only have been done with cash in the past. This was often a problem as you needed the exact change, something that is resolved when paying via a mobile phone. This is done by calling the given number from the car park and choosing the number id given to that car park. Payment is then taken from a debit or credit card. It can be set up so once you’ve used this system once it is much quicker and simpler thereafter. 

Many charities have promoted donations via text messaging, as making donations easier means people are more likely to give. Certain charity donations can be made by simply sending a text message to the relevant number. The user is charged for the text message plus a pre-determined amount. For example, if their text message rate is 12p, then £5.12 will be added to their phone bill with £5 of this going directly to the charity. Charities including Children in Need and Comic Relief have set up this type of payment. 

Contactless payments is something that has started to be introduction recently. Here, people can make small payments (usually less than £10) by holding their card briefly against a reader and it will take the payment without the need of a PIN or signature. Technology has been developed so contactless payments can be made using a mobile phone. Although this is still in its infancy it is available in conjunction with some banks. Payments are made by holding a phone up against a reader. 

Another mobile phone assisted payment that is likely to grow in use in the future is paying an individual or a small business. Technology has been created that allows someone to transfer funds from their bank account, via online banking on a mobile phone, to pay another person just by using their mobile phone number if they, too, are set up with this capability. 

The number of payment methods available via a mobile phone is increasing. More technologies are being developed, therefore increasing the type of payments that can be made in this way. This trend can be expected to continue in the future. 

Andrew Marshall ©

Methods used to Pay with Mobile Phone have increased in recent years and is likely to continue in the future.