Amazon debuts mobile payment app and card reader

NEW YORK - Amazon (AMZN) is taking direct aim at mobile payment systems such as Square by introducing the Amazon Local Register, a credit-card processing device and mobile app designed to help small business owners accept payments through their smartphones and tablets. The move places the largest U.S. e-commerce retailer in competition with Square and other established mobile payment processing systems such as PayPal Here and Intuit's GoPayment. Amazon's technology includes a card reader that attaches to a smartphone, Kindle or tablet. The reader processes credit or debit card payments via a secure Amazon network, the same one that processes purchases. The service is designed to serve on-the-go small business owners who might otherwise only accept cash or checks, including massage therapists, food truck operators and artists who sell their work at outdoor fairs. Small businesses can start using Local Register by creating an account. Businesses must buy Amazon's card reader for $10, and download the free mobile app from the Amazon app store, the Apple app store or Google Play. The app works on most smartphones and tablets, including the Kindle Fire. Similar to Amazon's strategy in many of its businesses, the company aims to compete on price in the mobile payment arena. For customers who sign up for the service by Oct. 31, Amazon will take as its fee 1.75 percent of each payment processed, or each "swipe" of the card, a special rate that will last until Jan. 1, 2016. For people who sign up after Oct. 31, Amazon will take a service fee of 2.5 percent of each payment processed. The first $10 in transaction fees will be credited back to the customer, essentially paying for the card reader. That's below most of its competitors' rates. Square takes a fee of 2.75 percent of each transaction. PayPal Here takes 2.7 percent of each transaction and Intuit's GoPayment rates start at 1.75 percent per transaction if businesses pay a $19.95 monthly rate or 2.4 percent of Continue Reading

Corrections & Clarifications

To report corrections & clarifications, contact:Please indicate whether you're responding to content online or in the newspaper.The following corrections & clarifications have been published on stories produced by USA TODAY's newsroom: February 2018Life:An earlier version of this report incorrectly credited the 1996 Summer Olympics performance of The Power of the Dream. Celine Dion sang the theme at the opening ceremony; the song was performed again at the closing ceremony by Rachel McMullin and a choir of other children.​ Sports: A previous version of this graphic incorrectly located hockey player Megan Keller's hometown on the map. Sports: An earlier version of this story misidentified the U.S. hockey player who is quoted in the third paragraph. Opinion: An earlier version of this column mischaracterized who could receive a tax credit for campaign donations. It would be refundable and available to all Americans who file taxes. Sports: A photo in some editions Feb. 8 incorrectly identified the person next to New England Patriots coach Bill Belichick. The person was special teams coach Joe Judge. Sports: A headline in some Feb. 12 editions had an incorrect result of Serena and Venus Williams’ doubles match in the Fed Cup. The sisters lost. Twitter: On Feb. 11, a previous tweet misidentified Olympic gold medalist Jamie Anderson. Continue Reading