On Monday I reported that PayPal would likely be ready to release a new competitor to the Square mobile payment system on Thursday and like clockwork the company has unveiled PayPal Here.
The new system allows PayPal merchants to accept mobile payments directly from their Apple iOS based smartphone. PayPal has also announced that and iPad and Google Android versions will arrive at another time.
Customers don’t need to have a PayPal account to use the system however they can pay with a PayPal account or by e-Check if they deem it necessary.
The triangle credit card reader provided with the system plugs directly into the users 3.5mm headphone jack however credit card numbers can also be typed into the system. For regular customers an invoice can also be setup for a pay later account.
In order to complete the transaction PayPal will take a 2.7% cut of the transaction, slightly less than Square which takes a 2.75% commission on each transaction.
Sellers can create a point of sale system for the program which makes the device work exactly like a cash register of sorts. For example you can list the pricing for a group of items and then click on each item to mark it as sold. When the total is displayed simply checkout the user and collect their payment.
Here’s a video showcasing how PayPal Here works:
Will you be trying out the PayPal system for your business or will you stay with the Square based mobile payment system?