April 29, 2024

Visa Invests in Square Credit Card Payments Service

Posted April 27, 2011 at 8:32pm by iClarified · 10073 views
Square has announced that Visa has made an undisclosed "strategic investment" in their credit card processing service for the iPhone, iPod touch, and Android smartphones.

Square lets business owners accept credit cards and cards using a small square dongle that attaches to iOS and Android devices. The card reader and mobile application are free. There are no monthly fees; however, each transaction you process is subject to a 2.75% charge.

Keith Rabois, Square's chief operating officer, said told the WSJ that the companies will "explore collaborative partnerships that might make sense," adding that "their vision and our vision align."

John Partridge, Visa's president, said that the company "invests in payment innovations that can enable more businesses to accept Visa."

This investment is considered to "legitimize" the company and also alleviate security concerns about how they handle payments.

Square made the news last week as well when they landed a deal to get their Credit Card Reader on the online Apple Store and in Apple retail stores.

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