Not many people know New York was one of the first states to introduce online sales tax laws. This required even out-of-state sellers to remit their taxes to New York when dealing with the local populace.
This is just one of many reasons why your online payment method matters. Fortunately, you can choose from more than a few available payment methods. Here are which methods buyers and retailers prefer in New York State and why.
Credit and debit cards are usually the default option for online payment on most platforms. With a higher-than-average credit card debt ($3,710 compared to the national average of $3,100 per capita), it would be safe to assume that New Yorkers already heavily rely on card use.
Regarding card surcharges, it’s worth pointing out that New Yorkers who use debit cards do not enjoy the same protection as those using credit cards.
Businesses around New York predominantly use online payment processors like Square, Stripe, and especially PayPal. The latter is licensed as a Money Transmitter and a BitLicense by the New York State Department of Financial Services.
Online payment is quick and convenient, so it’s no surprise that many New Yorkers use it. Whether you’re ordering from an online retailer or playing in an online casino, any reputable vendor will accept many different online payment options (Source: https://sciencetrends.com/), giving you the choice to pay for goods and services in the most convenient way possible.
Stripe is also becoming increasingly popular among e-commerce businesses in New York State. This is mostly due to its seamless and secure check-out process. Consumers expect online payments to be as quick and simple. Needless to say, what consumers want, vendors are obliged to incorporate in their offer.
New York was the first state to ban nearly all crypto mining and one of the first states to heavily regulate all crypto exchanges (insisting they acquire BitLicense). While the latter is highly unpopular and was even argued against by the Mayor (in April 2022), it still stands.
This has earned New York the reputation of being crypto-hostile, but this doesn’t mean New Yorkers aren’t paying with or receiving crypto payments. Crypto exchanges (with BitLicense) are completely legal in New York, and so are crypto wallets. Just keep in mind that even the company/party you’re dealing with needs to have BitLicense, too.
Mobile and contactless payments are already on a steady rise. With 6.9 billion people owning at least some form of a smartphone, this method is simple, convenient, and accessible. Not to mention that contactless payment was a preferred form (over cash payments) during the Covid-19 pandemic. Another reason behind the popularity of digital wallet services like Apple Pay, Google Pay, and Samsung Pay is that they’re equally as convenient for online and offline payments.
These are just some reasons New Yorkers are keen on using mobile payment apps like Venmo when paying online. Venmo is also convenient for peer-to-peer payments and bill-splitting, which makes life in New York much easier.
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