Contactless Payment System
Definition - What does Contactless Payment System mean?
Connectivity is often achieved by radio-frequency devices. Users just have to place a card or another item in proximity to a piece of cashiering hardware in order to complete the transaction. No PIN numbers or other verifications are required.
Techopedia explains Contactless Payment System
Another good example of a contactless payment system is an RFID device commonly used for highway or local road toll systems. Contactless payment systems have been adopted recently in highway toll systems because the convenience they provide overrode security concerns. That same philosophy, however, has not yet been adopted in general retail, where many buyers and sellers prefer using a card with qualifiers like PIN numbers.