Mobile payment myths dispelled

Many consumers have said they are wary to deal with credit card debt using their mobile phones because of the number of security risks doing so may pose, but a new study shows that these concerns are baseless.

One of the major complaints many consumers and companies have about the advent of near-field technology’s use in mobile phone credit card transactions is that the platform may not be secure. However, an official at the Federal Reserve Bank of Atlanta, which is leading an ongoing symposium on mobile payments’ feasibility, says the platform is, at the very least, no less secure than carrying a credit card in a wallet, according to a report from American Banker.

Cindy Merritt, assistant director of the Fed’s Retail Payments Risk Forum, recently stated that the misconceptions may arise because there have been a number of different NFC payment trials, conducted by several companies using varying technologies, the report said.

It has been rumored that security concerns of this type are the reason that Apple has been hesitant to include NFC technology in its popular iPhone.