Facebook Inc. launched an integrated payment service called Facebook Pay on Tuesday. The payment service has been rolled out in the United States and can be expected to make it to other countries pretty soon. For now, it is only limited to Facebook and Messenger but it would eventually allow users to make transactions on WhatsApp and Instagram as well.
Facebook Pay hopes to add convenience to digital commerce
Here’s the most important thing. With Facebook Pay, users will be able to use their payment option on Facebook, Messenger, Whatsapp and Instagram. Once they choose their preferred payment method on a platform, it will be automatically synced across the other three. Keeping in mind the need for quick sign-ins users expect today, users will no longer need to re-enter their payment information for each platform time and again. The payment gateway will support all major credit cards and debit cards. It will also partner with firms such as Stripe and PayPal for processing payments.
The service’s auto-sync feature will also enable them to view payment history, manage payment methods, and update their settings in one place. Moreover, customers would also be able to seek real-time customer support via live chat in their respective countries (after the service is rolled out).
What it means for user privacy
However, the company has clarified that customers will have the choice to set up or not to set up Facebook Pay on the various apps that they use actively. Users can either choose to set up Facebook Pay app-by-app or for usage across apps. Furthermore, Facebook’s VP, Marketplace and Commerce, Deborah Liu also added in his blog post that the company will stay separate from its crypto currency format.
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Security features expected from Facebook Pay
Facebook Pay will provide users a choice to either opt for a PIN or their device’s biometrics for authentication and security while making payments. Additionally, the company has also claimed that its payment service has been designed to provide activity notifications as well as anti-fraud monitoring to detect unauthorized activity.
It has added that the company will not receive or store any of the users’ biometric information during the process. However, Facebook has said in its blog post that as it will collect information such as transaction date, billing, shipping and contact details in the process, which it will use to show you more relevant ads and content on its platform.
This is an open-ended question and users would soon be looking for better privacy from all such providers online. Till then, it’s a wait to see whether Facebook will be able to make the most of this new payment gateway.
Online transactions are on the rise and there is a high probability that such products will see success. India has seen examples of PayTM and PhonePe proving to be successful.
What do you think of this new product from the Facebook kitty? Would it be something you use? Tell us in the comments below.