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PayPal's European drive may be met with alternative credit competition

Feb 28, 2013 Dave King

PayPal's European drive may be met with alternative credit competition

PayPal's alternative credit services are now available in Europe, Reuters reports. The technology the company has distributed for commercial use overseas is PayPal Here, which the source says is specialized for allowing small businesses to take Europe's more complicated cards and will compete directly with other devices developed by companies like Square.

The Wall Street Journal reports the market for mobile payment technology directed toward merchants is full in European countries, as businesses from Sweden, Germany and the United Kingdom have already made headway. The source asserts this tech field has great potential for profits and that the show of new businesses fighting for retailers' loyalties is a great sign for the future of the alternative payment industry.

PayPal Here was created initially for use in the United States, Reuters claims, and was intended to get in on the surge in retailer interest after Square's free readers, which can be used with electronic payment resources like debit and ACH cards, became a massive hit.

Professionals in the alternative credit technology industry agree moving devices from American use to European compliance has been a challenge. The continent's Chip and PIN system for cards is, according to the sources, a hurdle for developers to master.