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Definition

Social Payment

What is Social Payment?

Social Payment refers to the use of online social networks to send money to another person or company. PayPal would be the one to promote the concept and other businesses have followed suit, including Venmo, Snapcash, Google Pay. Individuals and companies can utilize current services or build their own customized apps to take the advantage of social payment systems.

Understanding Social Payment

Individuals must connect their bank card credentials to the payment method in order to transfer or accept these social payments. The user may then send cash straight to the business while signing into their social networking app to purchase any kind of product or service. The payment stream on the social networking app acts as a third-party portal, linking customers and sellers in the same manner that every payment system on an e-commerce platform would.

You must adopt every required effort to secure your users' information as internet security is crucial to the growth of social payments. Users will connect personal bank card data with private details as they join up for a social networking payment platform. Make sure you have fundamental properties like encryption and text categorization in place before you begin selling things on the internet in any form. To prevent consumers from fraud, website design complies with the PCI and DSS.

Popular Social Payment Systems

The most popular online payment systems in the world are listed below -

  • PayPal
  • Venmo
  • Snapcash
  • Google Pay
  • Apple Pay
  • Twitter Buy

Practical Example

Maria shopped from an online store for an upcoming festival. Her total bill was $1000 and she paid with her debit card. Then she gave a festival bonus to her employees. Here she transferred the money from her bank account to theirs via Paypal. Both methods can define as social payments. 

In Sentences

  • People are concerned about their digital security while using social payment options.

 

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