Businesses Begin To Accept Mobile Payments With Squares New Reader

SAN FRANCISCO -- Starting Nov. 23, 100 local business owners across the country are the first to accept chip cards and payments like Apple Pay from their customers with Square's new reader. With a tap of a phone, their customers are out the door.

"Our customers have been asking about contactless payment. Now it's here -- with one tap, customers at our Grand Central location can grab a coffee right before they jump on the train!" said Caroline Bell, owner of Cafe Grumpy in New York City.

Businesses are now using Square's new reader in major cities. They include Atlanta, Austin, Boston, Denver, Los Angeles, Nashville, New Orleans, Miami, Minneapolis, Philadelphia, Phoenix, Sacramento, Santa Cruz, Seattle, Tampa and Washington.

Announced in June, the contactless and chip card reader is a wireless transceiver that comes ready out of the box, connects with Square Stand or a mobile device, and pairs seamlessly with Square's free point-of-sale app. To make a payment, all a customer has to do is hold a compatible device near the reader or insert their chip card. The reader then initiates the payment. The whole transaction just takes seconds to complete. With the iPhone's fingerprint technology (Touch ID), a signature is no longer required.

The new reader meets the highest standards of security because it is optimized for accepting authenticated payments like EMV and contactless technology like Apple Pay and Android Pay. The reader retails for $49.