Google Pay


Google Pay is a digital wallet platform and online payment system developed by Google to power in-app and tap-to-pay purchases on mobile devices, enabling users to make payments with Android phones, tablets or watches. In addition to this, the service also supports passes such as coupons, boarding passes, student ID cards, event tickets, movie tickets, public transportation tickets, store cards, and loyalty cards.
As of January 8, 2018, the old Android Pay and Google Wallet have unified into a single pay system called Google Pay. Android Pay was rebranded and renamed as Google Pay. It also took over the branding of Google Chrome's autofill feature. Google Pay adopts the features of both Android Pay and Google Wallet through its in-store, peer-to-peer, and online payments services.
The rebranded service provided a new API that allows merchants to add the payment service to websites, apps, Stripe, Braintree, and Google Assistant. The service allows users to use the payment cards they have on file with Google Play.

Service

Google Pay uses near-field communication to transmit card information facilitating funds transfer to the retailer. It replaces the credit or debit card chip and PIN or magnetic stripe transaction at point-of-sale terminals by allowing the user to upload these in the Google Pay wallet. It is similar to contactless payments already used in many countries, with the addition of two-factor authentication. The service lets Android devices wirelessly communicate with point of sale systems using a near field communication antenna, host-based card emulation, and Android's security.
Google Pay takes advantage of physical authentications such as fingerprint ID where available. On devices without fingerprint ID, Google Pay is activated with a passcode. When the user makes a payment to a merchant, Google Pay does not send the credit or debit card number with the payment. Instead, it generates a virtual account number representing the user's account information. This service keeps customer payment information private, sending a one-time security code instead of the card or user details.
Google Pay requires that a screen lock be set on the phone. It has no card limit.
Users can add payment cards to the service by taking a photo of the card, or by entering the card information manually. To pay at points of sale, users hold their authenticated device to the point of sale system. The service has smart-authentication, allowing the system to detect when the device is considered secure and challenge if necessary for unlock information. Spring CEO Alan Tisch said Google Pay improves mobile shopping business by supporting a "buy button" powered by Google Pay integrated within vendor's creative design.

Technology

Google Pay uses the EMV Payment Tokenisation Specification.
The service keeps customer payment information private from the retailer by replacing the customer's credit or debit card Funding Primary Account Number with a tokenized Device Primary Account Number, and creates a "dynamic security code generated for each transaction". The 'dynamic security code' is the cryptogram in an EMV-mode transaction, and the Dynamic Card Verification Value in a magnetic stripe data emulation-mode transaction. Users can also remotely halt the service on a lost phone via Google's Find My Device service.
To pay at points of sale, users hold their authenticated Android device to the point of sale system's NFC reader. Android users authenticate unlocking their phone by using biometrics, a pattern, or a passcode, whereas Wear OS users authenticate by opening the app prior to payment. To pay in supported Android apps, users choose Google Pay as their payment method and authenticate with biometrics, a pattern, or a passcode. Users can add payment cards to the service in any of four ways: through the payment card listed on their Google accounts, by taking a photo of the card, being provisioned from within the card issuer's app, or by entering the card information manually.

Consumer Device Cardholder Verification Method (CDCVM)

In EMV-mode transactions, Google Pay supports the use of the Consumer Device Cardholder Verification Method using biometrics, pattern, or the phone's or watch's passcode. The use of CDCVM allows for the device itself to provide verification for the transaction and may not require the cardholder to sign a receipt or enter their PIN. Additionally, in certain markets which have a 'no verification contactless limit' using contactless cards, the use of CDCVM can enable merchants to accept transactions higher than these amounts using Google Pay, providing their terminal software is updated to support the latest network contactless specifications.

History

Originally launched as Android Pay, the service was released at Google I/O 2015. Android Pay was a successor to and built on the base established by Google Wallet which was released in 2011. It also used technology from the carrier-backed Softcard—Google had acquired its intellectual property in February 2015. At launch, the service was compatible with 70% of Android devices, and was accepted at over 700,000 merchants. Google Wallet still powered web-based Play Store purchases and some app-based peer-to-peer payments, for instance in Gmail.
, it is currently available in 30 countries. Upon its UK launch Android Pay supported MasterCard and Visa credit and debit cards from many of the UK's major financial institutions — including Bank of Scotland, First Direct, Halifax, HSBC, Lloyds Bank, M&S Bank, MBNA and Nationwide Building Society — "with new banks being added all the time" according to Google. Natwest, RBS and Ulster Bank will launch on September 14. On September 8, 2016 it was reported that UK banks TSB and Santander will participate "over the coming weeks". Android Pay was launched in Singapore on June 28, 2016, and in Australia on July 14, 2016. Android Pay launched in the Republic of Ireland on December 7, 2016 and is initially available to customers of AIB and KBC. The service works with both credit and debit cards.
In 2016, Google began a public trial in Silicon Valley of a related mobile app called Hands Free. In this system, the customer does not need to present a phone or card. Instead, a customer announces they wish to "pay with Google" and give their initials to the cashier, who verifies their identity with a photo previously uploaded to the system. The customer's phone will only authorize payment if its geographic location system indicates it is near a participating store.
On September 18, 2017, Google launched an UPI-based app Tez in India. On August 28, 2018, Google rebranded Tez to Google Pay.
On January 8, 2018, Google announced that Google Wallet would be merged into Android Pay, with the service as a whole rebranded as Google Pay. This merger extends the platform into web-based payments integrated into other Google and third-party services. The rebranding began to roll out as an update to the Android Pay app on February 20, 2018; the app was given an updated design, and now displays a personalized list of nearby stores which support Google Pay.
On December 21, 2018, Google Payment, obtained an e-money license in Lithuania - the license will enable Google to process payments, issue e-money, and handle electronic money wallets in the EU.

Ecosystem

Google Pay has a passes feature, which exists in a larger ecosystem. They are presented in the passes tab of the app and can be sorted manually. Developers must first be granted access to the Google Pay API for Passes before they can author such items.
In its simplest form, an interaction between a pass and a system is facilitated by a 1D or 2D code, although it requires the customer to initiate the activity. Passes can also contain nothing but plain text or an image.
More advanced passes would be ones that incorporate NFC technology to convey. Walgreens enabled this first with their Balance Rewards loyalty program in 2015; customers can add their card to Google Pay and be able to tap their phone to the terminal when prompted for their rewards card. Since then, more businesses have found uses for these types of passes, like with contactless ticketing at NCAA and MLB sports arenas and Dave & Buster's Power Cards.
In addition to retailer-specific passes, Google Pay also supports contactless student IDs through the Transact eAccounts application, as well as transit tickets and passes such as the Las Vegas Monorail and Portland Tri-Met's Hop Fastpass.

Availability

Supported countries

DateSupport for payment cards issued in
September 11, 2015
May 18, 2016
June 27, 2016
July 13, 2016
October 20, 2016
November 17, 2016
December 1, 2016
December 7, 2016
December 13, 2016
March 7, 2017
May 23, 2017
May 31, 2017
June 1, 2017
July 26, 2017
November 1, 2017
November 14, 2017
November 14, 2017
February 28, 2018
June 26, 2018
July 31, 2018
August 28, 2018
September 19, 2018
October 30, 2018
October 30, 2018
October 30, 2018
October 30, 2018
November 14, 2018
November 27, 2018
December 11, 2018
April 30, 2019

Those on light yellow background: originally released as Android Pay.
On Wear OS, Google Pay is available only in Australia, Canada, France, Germany, Switzerland, Italy, Poland, Russia, Spain, United Kingdom, and United States.

Supported networks

These programs are conveyed through NFC through Google Pay's Smart Tap feature. Some of these can be added through the app, while others must be added through the respective retailer's app or website.
RetailerOne Tap/Two Tap
AustraliaWoolworths' Everyday RewardsTwo Tap
Japand PointTwo Tap
Japan:ja:楽天ポイント|Rakuten Point CardTwo Tap
United StatesCoca-Cola's Vending PassOne Tap
United StatesDave & Buster's Power CardOne Tap
United StatesJimmy John's Freaky Fast RewardsOne Tap
United StatesWalgreens' Balance RewardsTwo Tap
United StatesYogurtland's Real RewardsOne Tap

Usage within [public transport] systems

Supported campus identifications

Available through the Transact eAccounts app on the Google Play store.
CountrySchool
United StatesThe University of Alabama's ActionCard
United StatesMercer University's Bear Card
United StatesMarshall University's Campus ID
United StatesDuke University's DukeCard
United StatesGeorgetown University's GoCard
United StatesChowan University's HawksCard
United StatesHamilton College's Hill Card
United StatesSt. Edward's University's Hilltopper Card
United StatesJohns Hopkins University's J-Card
United StatesCollege of Coastal Georgia's Mariner Access Card
United StatesRoanoke College's Maroon Card
United StatesSouth Dakota State University's MyJacks Card
United StatesArkansas State University's OneCard
United StatesTemple University's OWLcard
United StatesMaryville University's Saints ID
United StatesThe University of Oklahoma's Sooner Card
CanadaUniversity of New Brunswick's UCard