What is tap to pay?

Tap to pay is an increasingly popular payment method that shoppers can use to make purchases by simply tapping their card or scanning an app on their phone.

How does tap to pay work?

Tap to pay uses a technology called near-field communication (NFC) to share payment information. In basic terms, NFC allows nearby devices to communicate through radio waves — so they don't have to make physical contact with the payment terminal to complete the purchase.

As long as a card supports contactless payments and the retailer's payment terminal is NFC-enabled, tap to pay can be used. No need to insert or swipe a card to checkout. Tap to pay is safe because payment information is encrypted when shared via NFC.

Tapping a debit or credit card

Card tapping is simple. At checkout, credit or debit cards can be held over a retailer's payment terminal — one to two inches away. The NFC technology will take care of the rest and complete the card tap payment.

Tapping a phone

Many mobile payment apps can also leverage NFC technology, so shoppers can avoid using a physical card and check out by tapping or hovering their smartphone at the payment terminal.

How to set up tap to pay

If a credit or debit card has the NFC symbol, this means contactless payment technology is enabled. The card can be used to make payments with a tap.

If a shopper’s card doesn't have the NFC symbol, it is possible for them to manually set up tap to pay on their smartphone.

Check if the smartphone supports mobile payments

First, the smartphone needs to support mobile payments. This will likely be available through a digital wallet application on the phone. Different mobile providers and brands offer different wallets on their specific mobile devices, so availability will depend on the phone.

Enable tap to pay

If tap to pay is available, it needs to be enabled. Tap to pay can be set up either through a digital wallet app or through the phone’s settings, depending on the device.

On Android, for example, a user would open the Google Wallet app, go to their Account, and choose “Tap to pay setup” to enable this feature.

Enter bank and card information

A payment method — such as a credit or debit card — needs to be selected for tap to pay purchases. Enter the payment card details and verify the payment method. This is a secure process authorized by the smartphone and digital wallet app.

Confirm the POS is NFC-enabled

If a retailer’s payment terminal or point of sale (POS) system has the NFC symbol, this indicates that it supports tap to pay.

Tap a phone and pay

At checkout, the terminal will prompt the customer to tap or hover their phone over the terminal. A general rule of thumb is to hold it no more than two inches away from the POS.

The terminal will confirm that the payment went through.

Overall, it's usually easy to make in-store purchases with tap to pay. This contactless payment method is secure and convenient, helping shoppers complete their transactions without touching the payment terminal. Just pull out a card or smartphone, tap, and pay.

Learn about the PayPal digital wallet here.