Despite the massive financial backing of FinTech firms, they seem to be behind TechFins in terms of swift consumer satisfaction. S...
Facebook rolled out a new product in a bid to become a top contender in not only the social media space, but in the payments services as well. Our guide will equip you with the most essential information about Facebook Pay.
One of the most valuable things on the planet today is data, and this is well understood by big tech companies who go the extra mile to gather as much data as they can from Internet users. Tech giants like Apple, Amazon, Facebook, and Google have continued to reposition themselves over the years to stay at the top of the data food chain. For instance, Apple Inc. now has a credit card of its own, which was launched this summer, Amazon is lobbying banks for checking accounts, and Facebook is going more global with its soon-to-be-launched digital currency.
Even Google is not left behind. The company is already partnering with financial institution bigwigs like Citigroup and Stanford Federal Credit Union to provide checking accounts. The new product expected from this partnership is named Cache, and its launch date is expected to be sometime in 2020.
Now, Facebook has rolled out yet another product to keep it as a top contender in not only the social media space, but in financial services as well. This new product is called Facebook Pay, and its purpose is to make payment transactions less of a hassle to users of Facebook, WhatsApp, Instagram, and Messenger. This new product promises to be convenient, consistent, and most importantly, secure for every user.
Payment across Facebook apps is not a new phenomenon. People already make use of the payment system on the Facebook platforms to either shop, make donations or simply send money to each other. But for upgrading, Facebook Pay has been introduced to simplify the method of transaction even further and to tighten security on users’ information to ensure their cyber protection.
Users will no longer have to input their payment information every time they want to make a payment. All they need to do is to provide the payment method of their choice once and then quickly make payments and purchases wherever Facebook Pay is available on the various apps.
Users have the option to select which app to set up Facebook Pay. They can choose to set it up one app after another or make it apply to all Facebook apps, where it’s available. The company gives users control to decide where Facebook Pay should be applied and where it shouldn’t.
Payment history, payment methods, and settings updates can be viewed and managed all in one place.
Customer support is always on hand in real-time via live chat for only US customers at the moment. Right now, the Facebook company is preparing a rapid worldwide expansion so that more customers may access the product.
Facebook Pay will provide a definite distinction between the various payment services in the market and Facebook’s financial service.
The new Facebook Pay kicked off mid-November in the US and will be available on Facebook and Messenger for a start. Users can start using it immediately to purchase event tickets, send money, participate in fundraisers, and for in-game purchases. Plans are in progress to bring Facebook Pay to more of the company’s apps like WhatsApp and Instagram and to make it reachable to people and places outside the US.
The primary reason for the creation of Facebook Pay is to make people’s payment experience across Facebook, WhatsApp, Instagram, and Messenger one of convenience, consistency, and top-notch security.
As we mentioned above, the product will be unveiled on Facebook and Facebook Messenger first. When two users are chatting, they will easily find Facebook Pay near the chatbox, where the icons for sending a video or photo are located. Upon the completion of the payment transaction, it will be seen in the messaging history of the two users.
Facebook Pay is quite easy to use. To use it on Facebook or Messenger, all you have to do is to follow the following simple steps:
Firstly, go to settings on the Facebook app or website. Click on Facebook Pay. Secondly, add your method of payment. That’s it! With this done, you can go ahead to use Facebook Pay when next you need to make a payment.
Since Facebook Pay is yet to be accessible on Instagram and WhatsApp, whenever it is added on the platforms, you will be ready to set it up by following the steps as mentioned above.
Facebook Pay supports major credit and debit cards. PayPal, Stripe, and many more financial service companies are partners of the product, to see to it that the payment transactions of users are adequately processed. It is clear that Facebook Pay is not a stand-alone project as it is powered by partnerships and existing financial infrastructure.
It is vital to make a distinction between Facebook Pay and the Calibra wallet. The two are not the same, though they fall under the Facebook company umbrella.
In the area of payment, Facebook has not faltered. Users can attest to the fact that the company’s payment structure has been a trusted one since 2007. Facebook has also been instrumental in processing over $2 billion in donations since 2015, when the company’s first fundraising tools were launched.
Facebook Pay is only a step higher in the security of users’ information. With Facebook Pay, you can be sure that your card and bank account numbers are encrypted and securely stored. Also, the product carries out anti-fraud monitoring on the company’s systems to check for unsanctioned activity and to provide updates on account activity in the form of notifications.
Users have the option of using a PIN or their device biometrics like a face or touch ID recognition, to increase the security of their transaction during the process of making payments or sending funds. It is noteworthy that your device’s biometric information will not be received or stored by Facebook.
It is no longer news that Facebook been having confrontations with the law of late concerning issues surrounding privacy. To turn up the heat, the company went ahead to announce the coming of its in-house cryptocurrency, a move that has unsettled regulators to no end. In order to guarantee the success of the new product, the social media giant has made it clear that Facebook Pay is a platform built upon an already existing financial framework as well as partnerships.
The Facebook Pay project is independent of the Libra network and will function on its own, separate from the Calibra wallet. As Facebook works to connect all of its apps together, certain industry experts have theorized that it is a grand move to prevent any future breakup of the company and to have a sufficient defense against outside attack.
Facebook is currently under scrutiny by regulators over antitrust concerns. Thus, it makes perfect sense that all brands of the company should be unified to forestall any attempt by regulators to attack any Facebook subsidiary.
Facebook Pay is not the first product offering payment solutions in the US; in fact, there are lots of them. So what Facebook Pay is up against, especially in the US, are some already established products like Apple Pay, Square, Google Pay, and Venmo. This goes without saying that the competition will be a stiff one, a battle of supremacy between big tech companies. Hopefully, Facebook will find a place in the already competitive market, using its massive user-base as leverage.
Facebook Pay is just one out of many projects of Facebook to make the business transaction easier, accessible, and more secure for the users of the company’s apps. The end result from this pursuit is to give people more options when it comes to buying and selling things online and also to do businesses that are dependent on Facebook more successful. Therefore, the next thing for Facebook Pay is continuous development to make it a product of great value to the users of Facebook apps.
Facebook is not leaving its fate to chance, and that can be seen with the introduction of Facebook Pay, a strategy that makes all its social media applications linked together. The launch of the product is very timely as calls for the disintegration of the company are becoming louder.
Facebook’s founder, Mark Zuckerberg, has always had the vision to harmonize all of Facebook’s apps, and the coming of Facebook Pay brings the vision a step closer to reality. The company has stated that all payment processing for WhatsApp, Instagram, Messenger, and Facebook will be consolidated into one brand known as Facebook Pay.
With the launch of Facebook Pay, the two classes of payment structures Zuckerberg talked about might be possible after all, though the second one is still fighting to stay above water. Facebook Pay will let users make payments via a system that functions like any one of the already existing peer-to-peer payment apps. As for Libra, its future is yet uncertain as it still has a long way to go. Whether it will come to fruition or not will be determined by time.