Facebook is planning to expand its payment system, Facebook Pay, beyond the company's own platforms in August this year. This comes after credit card companies backed out of Facebook's Libra cryptocurrency, which led the social media giant to launch its own payment system, Facebook Pay, for use across the main site, as well as WhatsApp and Instagram.
Now with this expansion, shoppers on Facebook will see one more option listed next to the usual payment, according to a report in The Verge.
Following the expansion, Facebook Pay will be open to participating retailers for transactions. It will be listed alongside other payment options like Google's stored cards, PayPal integrations, Amazon Pay, etc.
The first platform to add Facebook Pay to its list of payment options is the e-commerce platform Shopify. Others can follow suit once its extended to retailers in August.
An important point to note here is that while it will be an easier way for retailers to get paid with cards customers have already stored in their Facebook profiles, it's also a way for Facebook to get more data.
The privacy page for Facebook Pay clearly states that it will collect information about the purchase such as the payment method, transaction date, billing, shipping and contact details.
" We designed Facebook Pay to securely store and encrypt your card and bank account numbers", it reads.
It is also stated that actions taken on Facebook Pay can be used for purposes such as delivering more relevant content and ads, provide customer support and promote safety and integrity.
However, the card and bank account numbers you provide will not be used to personalize experience or inform the ads one sees.