A few years ago, smartphone companies began working on a trending new technology that would let people use their smartphone to pay at compatible credit card terminals. This went from Apple Pay for iOS customers, then Android Pay (which was renamed to Google Pay), but all of these banking and retail companies saw there was money to be made with it. We started seeing more platforms fragmenting the ecosystem from LG Pay to Walmart Pay and even JPMorgan Chase thought Chase Pay was a good idea. Some of these do give rewards and they can be beneficial to for those who are loyal to certain companies. Today, Samsung has announced that Chase Pay customers with a Samsung device and Samsung Pay will be able to link their accounts.
Samsung may not have been the first mobile payment service on the market, but they had a major advantage over the competition. Most mobile payment services rely on NFC technology to complete the transaction from the phone to the credit card terminal. Mobile payment services that rely on NFC come at a major disadvantage since (at that time) 90% of the credit card terminals didn’t support the technology. However, back in 2015, Samsung acquired a company called LoopPay and instantly became a strong rival to Apple Pay.
LoopPay was able utilize the MST technology that the majority of credit card terminals already supported. So you can pay with your phone at basically any terminal. The South Korean conglomerate went all in with this new acquisition by expanding it to multiple markets all across the world. The success of this new feature took off with multiple other retailers and banking services partnering with Samsung to increase their customers’ usage. The list of credit unions, banks, and gift card merchants have grown so large that the company has a dedicated landing page for you to see who supports it.
JPMorgan Chase held off for so long and kept refusing to support Samsung Pay and instead created Chase Pay as one of their competitors. Naturally, this didn’t work out as they had hoped, so today both companies have announced those who are using Chase Pay can now link it directly to Samsung Pay. Less fragmentation is always a win for consumers.
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