The payment industry is developing rapidly. Mobile payment has become more and more popular in recent years. Under the leadership of Alipay and WeChat, mobile payment not only brings us convenience, but also allows China to lead the world in the field of mobile payment. From the initial credit card payment to the current QR code payment.

The number of third-party payment companies is gradually increasing, and each company will launch its own low-rate POS machine products. Then, in the face of so many credit card machines, how should small partners who need consumption or turnover make a choice?

First of all, it depends on the company's qualifications and whether it has a business license to determine whether it is formal. This is the most important thing. This query method can be found on the bank's official website.

Second, look at word of mouth. This is like going online shopping. It depends on whether the buyer's comments are good or not. A lot of information comes out when you open the webpage and search, which can basically solve this problem.

Finally, it depends on the payment channel of settlement. In different channels, the income of third-party payment companies and banks are different. The two are a cooperative relationship, but there is also a game of competition.

Why is it a cooperation?

Payment companies are not charities, nor are banks. But the purpose of the two is the same, for profit, for profit. For customers who are not covered by the bank, the payment company will come forward, which explains why there are so many POS machines on the market, because the cooperation will cover a wider area and the benefits will naturally be higher. But from the aspect of card swiping, banks’ POS machines have a high threshold for use and are not easy to handle, but third-party payment companies can handle many of them, but the final settlement channel is in the hands of the bank.

Why is it called game competition?

It is still because of interest that the bank’s POS machine fee rate is set at 0.6%, but not everyone can apply, and various materials are required. The other part of users who cannot apply needs a third-party payment company to mine, and the corresponding cost is even higher, so the fee rate of a regular company must be above 0.6%. The competition between the two is actually the fee rate of different channels. The fee rate of different channels can be half of the income of the bank, or not at all. This part of the income is part of the profit source of the third-party company, which is not allowed by the bank. For the cardholder, whoever uses it is used, but for the bank, I must earn what I can earn. This is one reason why many payment companies have recently received bank fines.