According to an article I found on Forbes, President Obama is keen to getting rid of the American Penny. His argument is that there are over 6 billion people who have phones, so why not go on with making payments through their mobile phones? It won’t be much later till all physical evidence of both paper money and coins will be a thing of the past. Payments for virtually everything will be done through fingerprints or mobile phones.
There’s an NFC chip inside most mobile phone chips that can transmit banking and payment data when placed near certain card readers. According to forbes.com, “a debit card, a mobile phone can display interactive payment details. And, instead of the credit card application process of filling out paperwork and waiting for the mail, using a mobile phone to pay requires only the download of an app and linking to bank details. PayPal president, David Marcus, calls it Money 3.0.”
This notion has started in Kuwait through a company called Borolo. Basically, all you have to do is go to a Second Cup or a Coffee Republic and they’ll give you a sticker to place on the back of your phone and voila! This feature is only available for Viva users for now, but soon this notion will be widespread in all shops and telephones. Also, what’s amazing about this is that it doesn’t need to be a smart phone! Even if you’re using an ancient phone and have no cash on you, you can still have yummy coffee.
If you pay your phone bill at the end of every month, it just adds to the overall payment; and if you recharge your phone, it deducts from your credit. You don’t need to pay anything extra for a subscription. What do you guys think of mobile payments? Are you with or against it?