The competition in the peer-to-peer payment sphere is heatin’ up. With Venmo, Square Cash and even Facebook allowing users to easily transfer money to other users.
Well to compete with these instant transfer systems, Google Wallet’s latest update allows automatic transfers from a user’s bank account. Previously, the application would require users to replenish cash to their Wallet balance before being able to send money. But, now this system will be more seamless and quick.
Although the transfers may be instant and the money recipients will receive the funds right away, the funds won’t disappear from the user’s bank immediately. Depending on the bank, it will take up to 1-3 days. However, this is the case for all P2P applications.
Evidently, there is a need for these systems. Consumers don’t carry cash like they used to. Not to mention, it provides a system that makes it much less awkward when a friend is waiting to be paid back from another friend. These p2p apps enable users to send a money request to other users.
The success of these platforms is attracting several tech companies to get involved. Last year, Google Wallet became a P2P app. PayPal owns Venmo. Social networks like Facebook and Snapchat are starting to offer a payment section in their messaging platforms. Both Apple’s iMessage and Snapchat are being powered by Square Cash.
So what does this mean for restaurants? Have you notice the checks being split less and the payment process being easier for servers?