| Business Payments |
Tap to pay on phone (SoftPOS) turns a compatible smartphone into a card terminal. Published rates for UK softPOS apps start at 1.69% for SumUp. PIN entry is supported on iPhone and Android, but contactless limits apply. The figures above are as published by the named sources on the review date and are checked against the tables in this guide.
KEY FACTS
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LAST REVIEWED 2026-09-06
How does tap to pay on phone work?
Tap to pay on phone (SoftPOS) uses the phone's built-in NFC chip to communicate with contactless cards and digital wallets. The phone acts as a payment terminal, sending transaction data securely to the payment processor. No separate card reader is needed.
The technology relies on near-field communication (NFC), which is standard in most modern smartphones. When a customer taps their card or phone, the NFC antenna exchanges encrypted data with the payment app. The app then communicates with the acquiring bank to authorise the transaction. This process typically takes a few seconds.
For amounts above this, the customer must enter their PIN. On iPhone, PIN entry is supported via the SoftPOS app, but the customer uses the phone's screen to enter their PIN. On Android, similar functionality is available, but the exact implementation varies by provider.
To use tap to pay on phone, you need a compatible device. Apple supports this on iPhone XS and later models. Android devices require NFC and Android 9 or higher. The provider's app must be installed, and you must have an account with them. The table below shows some providers and their published rates.
What are the differences between iPhone and Android for softPOS?
iPhone and Android both support tap to pay on phone, but there are differences in compatibility and features. iPhone models from XS onwards support Apple's Tap to Pay on iPhone, which is integrated into various payment apps. Android devices need NFC and run Android 9 or later, but not all devices are certified for softPOS.
On iPhone, the Tap to Pay feature is built into the operating system, allowing apps like SumUp and Zettle to use it. The customer's card or wallet is tapped on the top of the phone. PIN entry is handled on the phone's screen, which is known as 'PIN on glass'.
On Android, the process is similar, but the NFC antenna location varies by device. Some providers require specific hardware certification to ensure reliable performance. For example, SumUp lists compatible Android devices on its website. The table below shows the published rates for major providers.
When choosing between iPhone and Android, consider the age of your device and whether it is listed as compatible by the provider. Older devices may not support the latest security updates, which could affect performance. Both platforms offer similar security features, but the user experience may differ slightly.
| Provider | Hardware cost | Monthly fee | Settlement | Source |
|---|---|---|---|---|
| SumUp | not published | £0 | next day | source |
| Zettle | from £29 excl. VAT | £0 | within minutes to PayPal Business account | source |
| Square | not published | £0 | not published | source |
| Tide | from £11 + VAT | £2.99 + VAT | next business day | source |
| Barclaycard | £29 + VAT one-off | £0 for 12 months, then £18 + VAT | next day | source |
| Worldpay | not published | £20.00 per terminal | 24 hours | source |
What are the rates and limits for tap to pay on phone?
Rates for tap to pay on phone vary by provider. SumUp charges 1.69% per transaction, while Zettle and Square charge 1.75%. These are pay-as-you-go rates with no monthly fee.
The table below shows the monthly fee cost at published pay-as-you-go rates for different turnover levels. For example, at £2,000 monthly turnover, SumUp's fee is £33.8, while Zettle and Square charge £35. At £10,000, SumUp charges £169, and Zettle and Square charge £175. At £40,000, SumUp charges £676, and Zettle and Square charge £700.
These figures are based on the percentage rate only. Some providers, like Tide and Worldpay, charge a fixed monthly fee instead of a percentage. Tide charges £2.99 + VAT per month, but its transaction rate is not published. Worldpay charges £20.00 per terminal per month, also with an unpublished rate.
When comparing rates, consider your average transaction value and monthly volume. A percentage rate may be more cost-effective for low turnover, while a fixed fee might suit high-volume businesses. Always check the provider's terms for any additional charges, such as chargebacks or refunds.
How is PIN entry handled on softPOS?
PIN entry on softPOS is handled via the phone's screen, a method known as 'PIN on glass'. The customer enters their PIN directly on the merchant's phone, which is then encrypted and sent to the card issuer for verification.
PIN on glass is a secure method that meets industry standards. The phone's screen is used as a PIN pad, and the software is designed to prevent tampering. Providers like SumUp and Zettle have implemented this feature to comply with regulations. However, not all softPOS apps support PIN on glass, so check with your provider.
This speeds up the checkout process. For higher amounts, the customer must enter their PIN, which adds a layer of security. Some providers may also require additional verification for large transactions, such as a signature or ID.
When using PIN on glass, ensure your phone's screen is clean and responsive. The customer should be able to enter their PIN discreetly. The app will guide you through the process, and you should never see the customer's PIN. This is a key security feature of softPOS.
Is tap to pay on phone secure?
Tap to pay on phone is secure, using the same encryption and tokenisation as traditional card terminals. Each transaction is encrypted, and the phone's NFC chip communicates with the payment processor securely. Providers must comply with PCI DSS standards.
Security features include tokenisation, which replaces card details with a unique token. This means the merchant never sees or stores the full card number. Additionally, the phone's operating system provides security updates, and the payment app is sandboxed to prevent unauthorised access.
For PIN on glass, the software is designed to be tamper-resistant. The screen is used as a PIN pad, and the app ensures that the PIN is encrypted before transmission. Providers like SumUp and Zettle have undergone rigorous testing to obtain certification.
However, there are risks to consider. If your phone is lost or stolen, you should immediately contact your provider to suspend the service. Also, ensure your phone is updated with the latest security patches. Avoid using public Wi-Fi for transactions, as this could expose data. Always use a secure internet connection.
Which providers offer tap to pay on phone in the UK?
Several providers offer tap to pay on phone in the UK, including SumUp, Zettle, Square, and others. SumUp's app is available for both iPhone and Android, with a rate of 1.69%. Zettle offers a similar service at 1.75%. Square also provides softPOS at 1.75%.
Other providers like Tide and Worldpay may offer softPOS, but their rates are not published. Tide charges a fixed monthly fee of £2.99 + VAT, while Worldpay charges £20.00 per terminal. These may be more suitable for businesses with high turnover, but you need to contact them for a quote.
When choosing a provider, consider the compatibility with your device, the fees, and the features offered. Some providers offer additional tools like inventory management or sales reports. The table below shows the published rates and fees for comparison.
It is important to note that not all providers support PIN on glass. Also, check the settlement time, as some providers offer next-day settlement, while others may take longer.
| Monthly card turnover | SumUp at 1.69% | Zettle at 1.75% | Square at 1.75% | Tide | Worldpay |
|---|---|---|---|---|---|
| £2,000 | £33.8 | £35 | £35 | £2.99 + VAT fixed, rate not published | £20.00 fixed, rate not published |
| £10,000 | £169 | £175 | £175 | £2.99 + VAT fixed, rate not published | £20.00 fixed, rate not published |
| £40,000 | £676 | £700 | £700 | £2.99 + VAT fixed, rate not published | £20.00 fixed, rate not published |
What are the limitations of tap to pay on phone compared to hardware terminals?
Tap to pay on phone has limitations compared to traditional hardware terminals. However, some providers may impose their own limits on softPOS transactions.
Another limitation is the lack of a physical keypad for PIN entry. While PIN on glass is supported, some customers may be uncomfortable entering their PIN on a merchant's phone. Additionally, the phone's battery life can be a concern during long trading hours.
Hardware terminals often have more robust connectivity options, such as Ethernet or 4G, while softPOS relies on the phone's internet connection. If the phone loses signal, you cannot process payments. Some hardware terminals also offer faster transaction speeds and better durability.
For businesses with high transaction volumes, a dedicated terminal may be more efficient. However, for low-volume or mobile businesses, softPOS offers a low-cost entry point. The table below compares the costs of hardware terminals from various providers.
How do softPOS costs compare to traditional card machines?
SoftPOS costs are typically lower upfront because there is no hardware to purchase. Providers like SumUp and Zettle charge only a percentage fee per transaction, with no monthly fee. In contrast, traditional card machines may require a one-off hardware cost and a monthly rental fee.
The table below shows published hardware and rental figures for various providers. For example, Zettle offers hardware from £29 excl. VAT, with no monthly fee. Tide charges from £11 + VAT for hardware and £2.99 + VAT monthly. Barclaycard charges £29 + VAT one-off and £0 for 12 months, then £18 + VAT monthly.
When comparing costs, consider the total cost of ownership over a year.
SoftPOS is often more cost-effective for low-volume businesses, while hardware may be better for high-volume operations. Always compare the percentage rate and any fixed fees to determine the best option for your business.
What should I check before using tap to pay on phone?
Before using tap to pay on phone, check that your phone is compatible with the provider's app. For iPhone, you need an iPhone XS or later. For Android, you need NFC and Android 9 or higher. Also, ensure your phone has a reliable internet connection.
Check the provider's fees and rates. Some providers charge a percentage fee, while others may have a fixed monthly fee. Look for any hidden charges, such as setup fees or chargeback fees. The table below shows the published rates for comparison.
Consider the security features. Ensure the provider is PCI DSS compliant and offers tokenisation. Also, check the settlement time, as some providers offer next-day settlement.
Finally, read the terms and conditions carefully. Some providers may have a contract length or early termination fees. Make sure you understand the cancellation policy. It is also wise to test the app with a small transaction before going live.
How do I get started with tap to pay on phone?
To get started, download the provider's app from the App Store or Google Play. You will need to create an account and provide your business details. Some providers may require additional verification, such as proof of identity or business registration.
Once your account is approved, you can start accepting payments. The app will guide you through the setup process, including connecting your bank account for settlement. You may also need to order a free SIM card or use your phone's data connection.
Before accepting live payments, test the app with a small transaction. This will help you familiarise yourself with the process and ensure everything works correctly. You can also use the app's dashboard to track sales and manage refunds.
Remember to keep your app updated to benefit from the latest security features. If you encounter any issues, contact the provider's customer support. Many providers offer support via phone, email, or live chat.
Glossary: card payment terms explained
SoftPOS: Software point of sale that turns a smartphone into a card terminal using NFC technology, eliminating the need for separate hardware.
NFC: Near-field communication, a wireless technology that allows devices to exchange data over short distances, used for contactless payments.
Above this, PIN entry is required.
PIN on glass: A method where the customer enters their PIN on the merchant's smartphone screen, used for transactions above the contactless limit.
Tokenisation: A security process that replaces sensitive card details with a unique token, reducing the risk of data breaches.
PCI DSS: Payment Card Industry Data Security Standard, a set of security requirements for organisations that handle card payments.
Disclaimer. This guide is editorial information drawn from primary sources. It is not financial, legal or tax advice and does not recommend any provider. Figures are those published by the named sources on the review date and may change. Kael Tripton Ltd receives no commission, referral fee or lead payment from any provider named on this page. |
Frequently asked questions
Can I take card payments on the iPhone without a reader?
Yes, you can take card payments on your iPhone without a reader using tap to pay on phone (SoftPOS). This feature is available on iPhone XS and later models. You need to download a compatible app from a provider like SumUp or Zettle. The app uses the iPhone's NFC chip to accept contactless payments. This is a secure and convenient way to accept payments without additional hardware.
Is there a transaction limit for tap to pay on phone?
For amounts above this, you must use PIN entry. However, some providers may impose their own limits on softPOS transactions. Always check with your provider for specific limits. The limit is in place to reduce fraud, but it can be increased with additional verification.
How is PIN entered on tap to pay on phone?
PIN entry is handled via the phone's screen, a method known as 'PIN on glass'. When a transaction exceeds the contactless limit, the customer is prompted to enter their PIN on the merchant's phone. The screen displays a PIN pad, and the customer enters their PIN discreetly. This is encrypted and sent securely to the card issuer. Not all providers support PIN on glass, so check with your provider if you need to accept higher-value transactions.
Is tap to pay on phone secure?
Yes, tap to pay on phone is secure. It uses the same encryption and tokenisation as traditional card terminals. Each transaction is encrypted, and card details are replaced with a unique token. Providers must comply with PCI DSS standards. PIN on glass is also designed to be tamper-resistant. However, you should ensure your phone is updated with the latest security patches and avoid using public Wi-Fi for transactions. If your phone is lost or stolen, contact your provider immediately.
Which providers offer tap to pay on phone in the UK?
Several providers offer tap to pay on phone in the UK, including SumUp, Zettle, and Square. SumUp charges 1.69% per transaction, while Zettle and Square charge 1.75%. Other providers like Tide and Worldpay may offer softPOS, but their rates are not published. When choosing a provider, consider the fees, device compatibility, and features. Some providers offer additional tools like inventory management. Always check the provider's website for the latest information.
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