PayPal Acquires Mobile Credit Card Payment Company

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PayPal, the world’s biggest online payment processing system, recently bought the high-tech mobile credit card payment company Fig Card. The Boston-based Fig Card start-up firm specializes in replacing traditional credit cards with smart phones.

The way the Fig Card application works is that it lets retailers accept credit card payments via a USB device. Once the unit has been plugged into a cash register it is able to scan card transactions by simply using a compatible smart phone. There is no need to use a plug-in Square credit card reader, either, so the Fig Card has the potential to eliminate the need for carrying anything except your smart phone. The ultimate goal is to help consumers rid themselves of their actual physical wallets. Instead of carrying around plastic, in other words, they can just perform paperless and card-free purchase transactions. But Fig Card also promises the security and privacy that consumers now demand in order to keep their personal and financial data safe from cyber hackers and others who engage is high-tech credit card fraud or theft.

Acquisition of Fig Card by PayPal is just the latest in a series of investments that the online payment system giant has been making in order to position itself for a bigger market share as the credit card industry shifts to wireless transactions.

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