8 min read

What Are Instant Payment Apps: How They Work and More

What Are Instant Payment Apps: How They Work and More
Published on
December 26, 2023

Instant payment apps are mobile applications you can use to send and receive money without entering any debit or credit card information. They can be directly funded or linked to your bank account, which makes them quick and simple to use. Nowadays, numerous instant payment apps are available which offer unique features. Here, we'll go over everything you need to know about instant payment apps.

The rise of digital payments.

Nowadays, we demand more from our technology, especially when it comes to payment systems. Instant payments are digital transactions completed in real-time, 365 days a year, and make money available to recipients immediately. So, if you compare it to the old bank-to-bank payment option, which took around one to three business days, instant payments are far quicker. As a result, instant payments are becoming a necessity with the rise of the digital era.

Why should you use them?

What if we told you that there are more than one reasons you should start using instant payment apps?

Instant payments use digital-first technologies in websites or mobile applications for payment services so customers can make payments without being physically present.

Making a payment through these apps takes only a few seconds. This means that recipients can almost immediately access funds, which helps in better management of the cash flow and comes in handy while making time-sensitive payments. Instant payment apps are quicker since they eliminate the need for cash, cards, and gathering other people's banking information.

There are also certain security advantages. Someone would need to have your phone, know its passcode, and get past an additional security measure like a fingerprint or face scan to access your account.

This is how it works.

Instant Payment apps are simple to use. They enable you to make purchases and all other transactions using your smartphone instead of cash or a card. The money is deducted from that account when you use the app to purchase or send money. Similarly, your account balance is instantly topped off when you receive money. This payment method became even more preferred during the pandemic because it eliminated the need for currency exchanges and button touches.

Getting started is almost like a walk in the park.

Once you've downloaded an instant payment app to your phone or tablet, you can use it immediately. Before sending or receiving payments, you'll need to connect your bank account or create a new one with your preferred provider. After completing that, you can use the app to make purchases or transfer and receive money. Instant payment apps like Google Pay, Apple Pay, and PayPal work this way.

Are Instant Payment Apps Safe? Absolutely.

Regarding money-related matters, safety and security are the biggest concerns. Most instant payment apps are safe as they are password protected, and you can only make payments when you authorize them. These days, most instant payment apps also use an electronic money license. In most cases, money transfer apps have strong security safeguards to protect your money. This indicates that your money is stored in a separate account, keeping it safe even if the business fails.

But it's necessary to remember that you might not get your money back if you authorize a transaction in favor of the wrong recipient. These companies may or may not assist in the recovery of misplaced funds in such cases.

How much do they cost?

A mobile payment app doesn't cost you anything to use them. If there are charges, they will be made known in advance. The only charge in most cases is levied by your credit card provider if you link your mobile payment app to a credit card instead of a debit card, current, or savings account.

Can you use instant payment apps to pay in stores?

The answer is yes, provided the store accepts transactions through your payment app.

ScanPay - an instant payment app customized to the needs of small business owners.

ScanPay is an app that allows small business owners to collect payments from their customers instantly. For example, assume that you are an electrician who has just serviced a customer. They have to pay you, but they are not carrying cash. That is where ScanPay steps in. You can enter the amount you want to collect, and the app will generate a QR code. Your consumer can then use their phone to scan this QR code and make a payment without the ScanPay app on their phones. This allows your customers the freedom and convenience to pay you with a method of their choice.

You get your payment in a jiffy without carrying any POS device. The best part is that there are no additional or hidden fees with ScanPay. No matter how much money you are collecting, it just costs you a flat 2.89% + 20 cents fee on each transaction. When you use ScanPay, you can ensure that transactions are safe, secure, and authorized.

Weekly newsletter
No spam. Just the latest releases and tips, interesting articles, and exclusive interviews in your inbox every week.
Read about our privacy policy.
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.


Here is Why Every Small Business Needs an Instant Payments AppHere is Why Every Small Business Needs an Instant Payments App
min read

Here is Why Every Small Business Needs an Instant Payments App

We all know that the global coronavirus pandemic has created a cash-crunch for small businesses. When cash is tight, businesses become vulnerable..
Can I Instantly Access Payments From Customers in My Bank Account?Can I Instantly Access Payments From Customers in My Bank Account?
min read

Can I Instantly Access Payments From Customers in My Bank Account?

If you’re reading this, then chances are that you’re tired of waiting for payments to get credited to your bank account. And that’s just one of the problems with accepting payments. Since the pandemic, the US has begun its journey to an entirely cashless nation.
A Beginner's Guide to Selecting the Right Mobile Payment SolutionA Beginner's Guide to Selecting the Right Mobile Payment Solution
min read

A Beginner's Guide to Selecting the Right Mobile Payment Solution

Mobile Payment Solution systems are payment gateways for small businesses, home technicians, home service providers, and workers with non-digital jobs. They first popped up somewhere around the turn of the century and have come a long way since then.
Cookie Consent Banner