It reads information on a credit card when it is swiped. The information is not stored on the device but is encrypted and sent over secure channels to banks.
It basically makes any mobile phone a cash register for accepting card payments.
As a payor, you receive a receipt via email that can be instantly accessed securely online. You can also use a text message to authorize payment in real time.
Retailers can create a payor account for their customers which accelerates the payment process. For example, a cardholder can assign a photo to their card so their photo will appear on the phone for visual identity confirmation. Mobile devices with touch screens will also allow you to sign for goods.
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