Is Google Pay Safe? This Is What You Need to Understand

Paying for goods via the convenience of your mobile phone is no longer a pipe dream, it’s a reality and has become one of the most popular payment methods worldwide. According to Reuters, global mobile payments were set to reach over 50 billion per year by 2021. In the years since, that growth has absolutely exploded, with hundreds of millions of people tapping their phones or watches to pay every single day. Heck, you don’t even need your mobile phone for some transactions anymore — your smartwatch works just as smoothly. If you think this sounds like something out of a far-fetched Bond movie, think again. But is Google Pay safe, and what about the other apps out there?

Let’s break it all down so you can decide whether it’s the right choice for you.

Google Pay and Other Popular Apps

Today, there’s no need to worry if you forgot your wallet at home. If you have your mobile phone on you, payment for your purchases is just as easy, if not more so.

There are a number of popular payment apps to choose from. These include Google Pay, Apple Pay, Amazon Pay, Visa Checkout, and the most popular of them all, PayPal. Regardless of which app you choose, they all work in a similar way.

Google Pay, formerly known as Google Wallet, is a combination of parts. Google Wallet was designed as a peer-to-peer system that allowed you to send and receive money. Google Pay now exists due to a merger with Google Wallet in January 2018. Today it has evolved into a full-featured digital wallet that millions rely on daily for quick, secure payments.

Google Pay offers these services:

• You can send and receive money
• You can store your credit and debit card information in the app
• You can pay for your purchases in-store, in-app, and online using these banking details

The only catch is that the merchant, the store you’re buying from — is required to support near field communication (NFC). In other words, they need to offer a contactless payment method. This technology is similar to the chip technology systems used in modern credit cards.

While contactless payment was still relatively “new” a few years ago, it’s now mainstream across the globe, with most major retailers, transit systems, and even small shops accepting it without a second thought.

How Exactly Does Google Pay Work?

Google Pay is an app that you download onto your smartphone or smartwatch. It runs on the Android operating system, so if you’re part of the Apple family, you may be more familiar with Apple Pay. However, both apps work in almost the exact same way.

Once the app is downloaded, you’ll need to sign up and add your credit or debit card details. You can add one card or multiple cards, it’s up to you. You then need to verify your card details. There are a few different ways to do so:

• Via text — a verification code will be sent to your phone, which must be entered into the app
• You can call your bank, get your verification code and enter it into the app
• You can sign in to your banking app and verify the new payment method
• By permitting a small, refundable charge to your bank in order to verify your details within the Google Pay app

Once your details are verified, you can begin using the app for all your payments. When you are in a physical store, simply look for the “G Pay” emblem at the checkout area to be sure the merchant accepts NFC payments. Many stores now display multiple symbols (Google Pay, Apple Pay, contactless, etc.) so it’s easy to spot.

Google Pay also allows you to add bank account information so that you can send and receive money from family, friends, or colleagues, perfect for splitting bills or sending cash quickly.

Is Google Pay Safe?

No doubt, the burning question on everyone’s minds regarding contactless payment is how safe is it, really? Digital wallet technology may have been relatively new when it first launched, but it’s now been thoroughly tested and refined over years of widespread use.

Entering your banking information into an app and having it stored on a server can feel a little risky at first. But here’s what you should know: Google takes every measure to protect your personal information in a number of ways, such as:

• Storing your information on its secure servers, using the strongest form of data encryption
• Google ensures you set up appropriate security on your smartphone before being able to use the app. Your phone must be set to lock automatically or the app won’t operate
• If the automatic lock function on your phone is turned off, all your account numbers are removed from Google Pay

Over and above these security measures, Google also does not send your credit card details to the merchant when purchasing their goods. Instead, the system creates a virtual account number (often called a token) for every individual transaction. This virtual account number is sent to the merchant’s payment system.

Essentially, this is based on the same technology used in credit card chips. Each virtual account number cannot be re-used. So if a hacker attempts to steal credit card information from a merchant’s server, these virtual account numbers won’t work for future purchases. On top of that, Google Pay works hand-in-hand with your device’s built-in security, think fingerprint, face ID, or PIN, so even if someone gets your phone, they can’t easily make payments without unlocking it first.

In short, the layers of protection make Google Pay one of the more secure ways to pay compared to handing over a physical card or typing numbers into a website.

Where Can You Use Google Pay?

For the most part, you should be able to use Google Pay in almost any store that offers contactless payment. The app works on the same NFC technology as credit cards, therefore it should be accepted by most credit card terminals.

As mentioned, some retailers will openly display that they accept Google Pay, Apple Pay, Amazon Pay, Visa Checkout, and PayPal.

Of course, you can also use Google Pay for all online shopping payments and in-app payments. The app offers all the same convenience and security benefits as it would offer when paying for something in-store.

However, it’s worth mentioning that not all credit card companies may be on-board with Google Pay and contactless payment. So it’s not really the merchant you have to worry about, but your own credit card provider.

In order to add your credit card details to the Google Pay app, your credit provider will have to support the Google Pay system on their end, too. Basically, your credit provider has to offer the technology to support the virtual account numbers issued by Google Pay. If their system cannot support this function, you won’t be able to register that particular credit card with the app.

But in today’s world, most credit card providers are fully on board with mobile payment methods and have made compatibility a priority.

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So, is Google Pay safe?

It’s probably one of the safest, well-encrypted ways to store and use your personal payment information today. In fact, we say good luck to anyone trying to hack into Google’s servers or crack the tokenization system!

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