What is mobile payment?

Mobile payment usually refers to a new technology that is being tested that puts a software version of your credit card in your cell phone and allows you to pay for things with it.  These payment transactions are called “contactless” payments because they require no physical connection between the cell phone and the checkout payment terminal.  Instead of using a traditional credit or debit card (with a magnetic stripe on the back of it), you bring the cell phone close to the check out terminal (less than four inches) to make the payment without swiping or touching anything.