Accept contactless payments: Apple Pay, Google Pay and cards
Most customers now tap a card, phone or watch rather than insert a card. Here is how contactless and mobile wallets work from the merchant's side, what you need to accept them, the limits and why they are secure.
The short answer: how do you accept contactless payments?
You need a card machine with a contactless reader, which most modern terminals have. The same tap reader accepts contactless cards and mobile wallets such as Apple Pay and Google Pay, so there is nothing extra to switch on in the shop. Contactless card payments have a per-payment limit, while wallet payments are approved on the customer's own device. Both are encrypted and secure.
How contactless payments work
A contactless card or phone contains a small chip and an antenna that uses near-field communication (NFC). When a customer holds it a few centimetres from the reader on your card machine, the two exchange an encrypted message. The terminal sends the request to your acquirer, the customer's bank approves or declines it, and the terminal shows the result, usually within a couple of seconds. It is the same journey as a chip and PIN payment, with the customer's tap in place of inserting the card. Our guide to card payment systems shows the full route.
Apple Pay and Google Pay: what changes for you
Apple Pay and Google Pay are mobile wallets. The customer adds a card to the wallet on their phone or watch and then pays by holding the device to your terminal. From where you stand, very little changes.
- Same reader, same screen. The terminal's tap reader accepts wallets and contactless cards, so you do not need separate equipment.
- Same fees structure. A wallet payment is a normal card payment under the hood, and it is charged according to the type of card behind it.
- No card number on show. The customer authenticates on their own device, with a fingerprint, face scan or passcode, instead of a PIN on your terminal.
- Receipts work the same. You can print a receipt or send one by text or email.
Wallets also work for watches, wristbands and some other wearables that have been set up with a card.
What you need to accept contactless payments
- A card machine with a contactless reader. Both PayZu terminals, the portable PAX A920 Pro and the countertop PAX A35, take contactless cards, Apple Pay and Google Pay.
- A card payment agreement. This covers processing, and the terminal is rented under it. See what to check on card machine rental.
- A working connection. The terminal needs Wi-Fi, Ethernet or a mobile data SIM to get approvals. The A920 Pro has a built-in 4G SIM with Wi-Fi backup.
- A quick check with your provider. Ask whether contactless and wallet payments cost anything extra. They should be part of the normal price.
Contactless limits explained
Contactless card payments have a limit on how much one tap can take. In the UK most banks still apply a £100 limit to a single contactless card payment (since March 2026 the FCA has allowed banks to set their own limits, so it can vary by bank), and card issuers may also ask for a PIN now and then as a security check, even for a small sale. Limits are set by each customer's bank and they can change, so treat the figure as a guide and ask your provider for the current position.
Mobile wallet payments work differently. Because the customer has already unlocked their phone or watch, a wallet payment is not held to the same per-tap limit as a contactless card. Banks can still apply their own checks and spending limits, so a high-value payment may occasionally be declined or need an extra step.
If a tap does not go through, the customer can usually insert the card and enter their PIN instead.
Are contactless and mobile wallet payments secure?
Yes. Several layers protect each payment.
- Encryption: card details are encrypted by the device and the terminal, so your till, your staff and your Wi-Fi do not see them.
- One-time codes: each contactless payment carries a unique code that cannot be reused, so a copied message is of no use.
- Tokens in wallets: Apple Pay and Google Pay use a substitute number (a token) instead of the real card number, so the real number is never passed to you.
- Device authentication: wallet payments need a fingerprint, face scan or passcode, which adds a layer that a plain card does not have.
Your part is the usual good practice: keep your terminal in sight, never write down or store card details and complete any compliance questionnaire your provider asks for. See our PCI compliance guide.
If a contactless payment fails
- Ask the customer to hold the card or phone flat against the screen area for a moment longer.
- Try a different card, or take the card out of a thick wallet or phone case.
- Ask them to unlock their phone first, or to try another wallet card.
- Offer chip and PIN as a back-up by inserting the card.
- If every payment fails, check the terminal's connection, then call your provider's support line.
What PayZu offers
- Contactless, chip and PIN, Apple Pay and Google Pay on every terminal
- £0 upfront, zero hidden fees, zero PCI fees
- Your own account manager and 24/7 UK support
Rates are personalised to your business. Savings of up to 50% on some fees are possible. T&Cs apply, subject to eligibility and status.
Contactless and mobile wallets: common questions
Do I need a special card machine to accept Apple Pay and Google Pay?
You need a card machine with a contactless reader, which most modern terminals have. The same reader takes contactless cards, Apple Pay and Google Pay.
Is there a limit on Apple Pay and Google Pay payments?
A wallet payment is not held to the per-tap limit that applies to contactless cards, because the customer authenticates on their own device. Banks can still apply their own checks and limits, so ask your provider if you regularly take larger payments.
What is the contactless limit in the UK?
Most UK banks still apply a £100 limit to a single contactless card payment. Since March 2026 the FCA has allowed banks to set their own limits, so it can vary by bank and can change, and card issuers may sometimes ask for a PIN as a security check.
Does it cost more to accept contactless payments?
A contactless or wallet payment is a normal card payment, charged according to the type of card used. Ask your provider to confirm there is no separate charge, and compare the full cost using our card machine fees guide.
Why did a contactless payment get declined?
Common reasons are insufficient funds, a bank security check, a card that has reached its contactless limit or a weak connection. Asking the customer to insert the card and enter their PIN usually sorts it out.
Can I accept contactless payments on the move?
Yes, with a portable terminal. The PAX A920 Pro has a built-in 4G SIM, a battery and a receipt printer, so it can take contactless payments at tables, at the door or on a job. See our mobile card machines guide.
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