Financial services companies are planning to modernize their technology in 2022
For business owners and merchants looking to modernize how they process financial transactions for their customers, it makes sense to investigate the latest innovations for payment gateways. Understanding upcoming 2022 trends in financial technology can help merchants make better decisions for handling their customers’ financial transactions. Let’s look at some of the financial services trends to look for in 2022.
Network Modernization Trends for 2022
Discounts and cashback rewards for online payments are increasingly popular with e-commerce retailers like Amazon and PayPal. As a result, consumers are shifting from credit cards to digital platforms for online transactions. Many merchants are scrambling to keep pace by moving to the cloud and routing network traffic via software rather than physical infrastructure. These software-defined networks enable companies to quickly identify the traffic on their network and route it to where it needs to go.
One emerging financial network modernization trend substitutes QR code technology for near-field communication devices or electronic data capture machines. Instead of carrying multiple credit cards, customers can simply use the smartphones they already carry to scan the QR code and make purchases. The lower investment upfront reduces or eliminates cost barriers for many smaller merchants, enabling them to offer digital payment options to their customers.
How Mastercard is Mastering Faster Digital Payments
Latency – delays in processing electronic payments – can be frustrating to both merchants and customers. Payment lags also introduce potential unauthorized intervention. In 2022, Fintech companies will continue to employ new strategies to reduce latency while maintaining critical security.
For example, Mastercard Inc. is increasingly turning to edge computing, which processes data on or near the device where it is located rather than transmitting information to a data center or the cloud. This technology speeds payment authorizations by moving them from the cloud to the payment device, which allows for more convenient payment methods, such as using your mobile device to make a payment or even unlock subway turnstiles. The technology also allows partners to connect directly to the Mastercard network, further enhancing security.
A Comprehensive, Customized Payment Solution
A comprehensive financial strategy streamlines customer transactions while saving money for you! PayTech Trust offers comprehensive, customized financial payment solutions that are simple, convenient, and safe for your customers. Our payment professionals work with each merchant and partner to create tailor-made solutions to meet their unique needs. Contact us for more information on how we can help you.
Originally Published: 05/07/2020 | Updated: 12/1/2021