Mobile Payments Glossary

• Mobile payments have grown in popularity the past yearand have brought on a new set of paymentterminologies that may be unfamiliar to most.

• As mobile payments continue to become moreprevalent, it is important to understand the buzzwordsthat are used when talking about mobile payments.

• To have a better idea of what mobile payments are, hereare some of the key phrases used.

Mobile Payments Glossary

•  Android Pay: One of the leading mobile wallets that was released in September of 2015. It is available on any Android smartphone that runs Android 4.4 KitKat or newer.

•  Apple Pay®: The first leading mobile wallet that was released in October of 2014. Currently, Apple Pay is the only wallet available for the iPhone 7, iPhone 6, iPhone 6 Plus, iPhone 6s, iPhone 6s Plus, Apple Watch (paired with the iPhone5 or later), and iPad (for online shopping only).

Mobile Payments Glossary

•  Contactless Payments: Payment transactions that do not require physical contact between the terminal and the consumer payment device. To complete a contactless payment transaction, the consumer will hold the contactless device, (such as a smartphone), near the terminal and the payment information is communicated wirelessly.

•  EMV: Stands for Europay, MasterCard, Visa. EMV is a fraud-reducing technology helped to protect issuers, merchants, and consumers against losses from the use of counterfeit or stolen payment cards at the point-of-sale.

Mobile Payments Glossary

•  Encryption: Process of encoding or scrambling data that can only be read by authorized programs or by those that have a decryption key.

•  Loyalty Program: Process of offering incentives for the use of a specific card. Many retail and restaurants use loyalty programs to attract new and returning customers.

Mobile Payments Glossary

•  Merchant: The retailer or business that accepts payments from customers in exchange for services and/or goods.

•  Mobile Payments: Process of a point-of-sale transaction processed through a mobile device.

•  Mobile Wallet: A digital wallet that carries your credit/debit card information on your mobile device. Users can pay with their smartphone, watch, or tablet instead of using a physical card.

Mobile Payments Glossary

•  mPOS: A mobile point-of-sale device that replaces a traditional point-of-sale system.

•  Near Field Communication (NFC): A method of contactless communication and data exchange between electronic devices, such as smartphones or tablets, to other devices such as credit card terminals. Merchants can easily accept all mobile wallets with an NFC-enabled terminal.

Mobile Payments Glossary

•  PCI: Stands for Payment Card Industry. All merchants who accept mobile payments must observe the guidelines in the Payment Card Industry Security Standards Council’s (PCI-SSC) data standards. These standards are set to help protect cardholder data and sensitive information in addition to eliminating security exposures.

Mobile Payments Glossary

Mobile Payments Glossary

•  POS: Stands for “Point-of-Sale.” A hardware device that functions as a cash register that can process debit/credit cards, track customer orders, and connect to other systems within a network.

•  Samsung Pay: One of the leading mobile wallets that was released in September of 2015. It is available on the Samsung Galaxy S6 edge+, Samsung Galaxy S6 edge, Samsung Galaxy S6, Samsung Galaxy S6 active, and the Samsung Galaxy Note5.

•  Tokenization: Process of replacing a credit or debit card number with a valued “token.” Tokenization takes personal information, such as the primary account number, and replaces it with non-sensitive data, such as symbols, letters, or any other random sequence of tokens.

Mobile Payments Glossary

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