How to Take Card Payments with Your Phone

We take our phones wherever we go.

So why can’t we accept payments wherever we go? Thanks to advances in technology and the development of the payments industry, taking card payments by phone is now possible. That means you’ll no longer need to trail around a card reader, fiddle with cash or create paper invoices!

In this article, we’ll be covering how to take card payments via mobile phone, and the various benefits of doing so.

Taking card payments by phone

Different companies offer different payment options for small businesses. Most will require you to purchase a separate card reader, which then connects to your phone. You will still need to carry the card reader and pay for a monthly contract. Some other companies will allow you to complete payments with payment links. This means that you simply send a link to your customer and they will complete the payment on a separate screen on their phone.

At Pomelo Pay, you can take card payments using QR codes and payment links. Here’s a step by step of how both systems work:

  1. You’ve just completed a job at your client’s house, and it’s now time for payment.
  2. You take your phone out, open up the Pomelo Pay app and display a QR code that is unique to your business.
  3. Your client opens their camera app and points their camera at the QR code.
  4. All modern smartphones can automatically detect QR codes. When the camera detects a QR code, a website link will pop up.
  5. Your client will then click on the link, taking them to a separate page where they can fill in their card details or pay directly with Google Pay and Apple Pay.
  6. The payment is completed safely and securely. Every payment is tokenised and details are not stored on any device or the cloud.

This type of payment works for all types of merchants including electricians, architects, coffee shop owners and takeaways – anyone who has a Pomelo Pay account, a business bank account and a smartphone can now accept payments from anywhere. 🎉

But what if you want to ask for payment later on when you’re not face to face with your customer? That’s where payment links come in handy. These are the steps to complete a payment using payment links:

  1. Create a payment request on the Pomelo Pay app
  2. Input payment amount
  3. Send the link via email, Whatsapp or SMS
  4. The client inputs their card details or uses Google Pay/Apple Pay and complete the payment immediately
  5. You receive the funds in your account the next day

The benefits

Using QR codes and payment links offers many benefits for both your business and your customers. Here are a few of them:

Quick and convenient

By accepting payments using QR codes and your phone, payments happen instantaneously and are much less of a hassle. All you and your customer needs is a mobile device – no one needs to run to the ATM to get cash and your customer won’t need to download an extra app. With payment links, you won’t need to keep reminding your customer to pay, and they can complete the payment from the comfort of their home.

Taking online virtual payments with your phone is the definition of seamless customer experience. The less time you spend managing payments, the more time you can spend engaging your customers, fostering relationships and building trust. Talking about business…

Good for business

Taking card payments helps your business in various ways:

First of all, it helps with cash flow. With QR payments and payment links, you receive your funds the next day – unlike other services that can take over 3 days to process. Faster payments mean your forecasting is more accurate, you can pay your suppliers on time and general accounting is less of a headache.

Second of all, a seamless customer experience using mobile card payments helps build trust and loyalty with customers. Customers who trust you are customers who are more likely to come back and offer repeat business. Repeat business translates into more sales and therefore more revenue!

Finally, physical card terminals can be incredibly expensive: you need to pay for a monthly contract, maintenance fees, terminal fees and a lot more. These fees can quickly add up and seriously impact your bottom line. With QR codes and a Pomelo Pay account, you’ll just be paying 1.49% per transaction!

Highly secure

QR codes are actually a lot more secure than accepting payments with phone calls or even debit and credit cards. Phone calls are at a higher risk of fraud, which is why you need to ensure you are PCI DSS compliant and can take payments over the phone securely. With debit and credit card payments, details can be stored on devices and transactions are less protected.

This is different from QR code payments: every transaction is tokenised and encrypted. This means that customer’s card details are replaced with a random number generated by an algorithm (called a “token”) every time a payment is processed, and therefore cannot be accessed by anyone. Card details are never stored with Pomelo Pay or the merchant. This is a great way to make your customers feel more secure about their payments.

In addition to being secure, QR codes and payment links drastically reduce physical contact. With a QR code payment, your customer won’t need to touch a payment terminal. With payment links, they can easily complete the payment from their own home. Online card payments help ensure you are following government guidelines and keeping your customers safe.

At Pomelo Pay, we’ve focused on making online card payments as smooth as possible. With our app, you can start accepting payments from anywhere and anyone without paying huge fees every month. Mobile payments are good for business, great for customer experience and are a great way to keep your business going all while maintaining government guidelines and keeping your customers safe.  

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