NFC payments are contactless payments that use near-field communication technology, allowing devices like a mobile phone and a payment terminal to communicate securely with each other. This technology powers mobile wallet payments such as Apple Pay, Google Pay and Samsung Pay and payment cards that you can tap to pay. To accept NFC payments, you need an NFC-enabled card reader.

For small businesses, NFC payments are easy to set up and can provide a quick in-store checkout experience.

NFC technology enables two devices to transmit information to each other using radio frequency. For NFC payments to work, the two devices communicating with each other need to be placed very close together, mere centimeters apart.

Other scenarios where radio frequency is used to exchange data include hotel room keycards and public transit fare cards. The difference is that NFC is a newer, more secure form of existing radio frequency technology.

An NFC-enabled phone and payment reader contain chips that facilitate the secure exchange of data. A transaction is initiated when the user unlocks a digital wallet app, chooses a card to pay with and places the phone close to the payment reader. A chip called the “secure element” then authorizes and validates the transaction and assigns it a unique digital signature. Once this step is complete, the payment is processed like a typical card transaction.

NFC payments are considered secure because data passing between the two devices is encrypted. The security protocol followed by NFC technology is the same one used by chip-enabled payment cards, making it more secure than swiping your card at a terminal.

NFC technology makes it hard for a potential thief to steal any useful information in three ways:

1. Transaction data like the customer’s name and card information are encrypted.

2. The distance between devices in an NFC payment is very small, making it hard to intercept from afar.

3. Most mobile wallets require the customer to take an additional security step of entering their passcode or placing their fingerprint to initiate payment.

Like any payment system, though, NFC technology may still be vulnerable to sophisticated attacks directed at the customer’s mobile device or at flaws in a point-of-sale system.

As a small-business owner, you can do your part by always ensuring your device software is up to date and your entire payment processing setup is PCI compliant.

Check with your merchant account provider or payment service provider to see if your devices are NFC-enabled or if you can update them to accept NFC payments. The rates for doing so should be similar to accepting other types of card-present transactions; your existing payment processing plan will determine your costs.

It’s never too early to get started on your #newyearnewme goals. And ahead of the new year, Chase has unveiled its 5% bonus categories for the first quarter of 2022.

From Jan. 1, 2022 to March 31, 2022, holders of the Chase Freedom Flex℠ and the Chase Freedom® can earn 5% back on up to $1,500 in combined quarterly spending in the following categories:

• Grocery stores (excluding Target® and Walmart® purchases).

You’ll have to activate your bonus categories online by March 14 to earn bonus cash back, which can be earned retroactively.

Nerdy tip: The Chase Freedom® is closed to new applicants. But if you hold this legacy card, you’ll earn 5% on these bonus categories once you activate them, just like with the Chase Freedom Flex℠.

Although “grocery stores” has been featured by the issuer in 2021 and in years prior, eBay is a notably new bonus category. And while the latter may not be an everyday spend category for most, if you’re an avid shopper on the e-commerce site, you can rack in serious rewards in the first quarter of 2022.

Note that the $0-annual-fee Chase Freedom Flex℠ currently offers the following sign-up bonus: Earn a $200 Bonus after you spend $500 on purchases in your first 3 months from account opening. And earn 5% cash back on grocery store purchases (not including Target® or Walmart® purchases) on up to $12,000 spent in the first year.

The 5% back on groceries you’ll get in the first year can stack with this quarterly bonus. This means that those who are in their first year of cardholding in Q1 2022 and who haven’t yet reached the spending cap, can earn 9% cash back on grocery store purchases — (4% from the rotating bonus category plus 4% back from the card’s first-year bonus plus 1% base earn, which can be earned once per purchase only).

In addition to rotating bonus categories each quarter, the Chase Freedom® earns 1% back on all purchases. The Chase Freedom Flex℠ earns the following:

• 3% back at restaurants, including takeout and eligible delivery services.

• 3% back at drugstores purchases.

• 1% back on all other purchases.

If you’re an American Airlines AAdvantage elite member, you’re hopefully well aware of the elite benefits you get when flying American. But you may not know there are 16 other airlines with which AAdvantage elite status holders get benefits.

Over the past few years, American has been aggressive about adding and enhancing partnerships. AAdvantage members can now get first-class upgrades on Alaska, free checked bags on JetBlue and bonus miles when flying intra-Brazil — and those aren’t the only airlines you can get AAdvantage perks with.

Take a look at all of the airlines that AAdvantage elites can benefit from flying, plus which perks you’ll get on each airline.

As American is a member of the Oneworld alliance, AAdvantage elite members enjoy benefits when flying on any other Oneworld airline. The benefits depend on your AAdvantage elite status tier — Gold, Platinum, Platinum Pro or Executive Platinum — and sometimes the airline you’re flying.

Perks vary based on your elite status level. As you move up the status tiers, you can expect to earn the same perks as the lower tiers, plus additional perks.

• Access to business class check-in.

• Preferred or pre-reserved seating.

• Priority on waitlists and when on standby.

• Access to business class lounges.

• Priority boarding.

• Extra baggage allowance — guaranteeing at least one checked bag of up to 23 kg (50 lbs).

• Priority baggage handling.

• Ruby benefits.

• Access to first and business class lounges.

• Access to first class priority check-in.

• Fast track at select security lanes.

• Priority baggage handling.

• Extra baggage allowance.

• Priority boarding.

• Priority on waitlists and when on standby.

• Access to preferred or pre-reserved seating.

• Ruby and Sapphire benefits.

Unfortunately, not all Oneworld airlines provide all of the guaranteed Oneworld elite benefits.

• British Airways’ version of basic economy, bluntly called “hand baggage only” fares, implies that you won’t be able to check baggage when booking this fare — even if you have Oneworld elite status. So be prepared to pay for your checked bags. In addition, British Airways doesn’t provide priority baggage handling privileges to Oneworld elites.

• Qatar Airways’ Doha hub offers some of the most spectacular business and first class lounges in the world. Unfortunately, Oneworld elites don’t get access to these. Instead, Qatar provides separate lounges for Oneworld elite members.

Alaska Airlines joined the Oneworld alliance on March 31, 2021, guaranteeing AAdvantage elites certain benefits when flying on Alaska. In addition to the Oneworld benefits, AAdvantage elites get a few extra, like:

• Free checked bags: When flying on Alaska, all AAdvantage elites are guaranteed at least two free checked bags. That’s much better than the one-piece allowance guaranteed through the Oneworld partnership. AAdvantage Gold and Platinum members get two free checked bags, and Platinum Pro and Executive Platinum elites get three free checked bags.

• Upgrades to Premium Class: Alaska’s equivalent of Main Cabin Extra is called Premium Class. AAdvantage elites get complimentary space-available upgrades to these seats when booking any fare but Saver — Alaska’s basic economy ticket. The timing of the upgrade depends on your elite status tier and fare booking class.

AAdvantage members flying on other airlines can still earn AAdvantage miles and elite status credits based on the distance flown and the airfare booking class. American Airlines spells out the rates at which you earn these credits in earning charts.

In addition to these base earning rates, AAdvantage members can get elite mileage bonuses when flying on most Oneworld airlines at these rates. Only S7 Airlines and SriLankan Airlines are excluded.

• 40% for AAdvantage Gold.

• 60% for AAdvantage Platinum.

• 80% for AAdvantage Platinum Pro.

• 120% for AAdvantage Executive Platinum.

In July 2020, American and JetBlue announced a new partnership that they’ve since dubbed the Northeast Alliance. This partnership has developed relatively slowly, but finally now includes several reciprocal elite benefits and mileage earnings.

AAdvantage members earn miles on JetBlue flights similar to how they’re earned when flying American. Entry-level AAdvantage members will earn 5 miles per dollar spent; this number increases based on your status tier, up to 11 miles per dollar spent for Executive Platinum elite members.

In addition to earning bonus miles, AAdvantage elites get the following elite benefits when flying on JetBlue:

• Priority check-in.

• Priority security.

• Priority boarding.

• Priority bag delivery.

• One free checked bag for AAdvantage Gold elites and two free checked bags for all other elites.

Note that the Northeast Alliance doesn’t cover JetBlue’s flights to London. So you will get these elite perks and mileage earnings only when flying to JetBlue’s destinations in the U.S., the Caribbean, Central America, Mexico and South America.

In February 2020, American Airlines launched a new code-share partnership with Brazil’s largest airline, GOL Airlines. AAdvantage members earn the same miles and elite credits on these GOL flights as if they were flying American. AAdvantage members can also earn miles when flying on GOL-marketed flights — including an elite status bonus for elite members.

In September 2021, American Airlines and GOL announced upcoming reciprocal elite status perks. Details are still thin. But in 2022, American Airlines AAdvantage members “will gain access to GOL’s elite benefits, such as priority check-in, priority security, priority boarding, a larger checked baggage allowance, lounge access and preferred seats,” according to a September news release on American Airlines’ website.

In addition, GOL and American plan to add an “enhanced joint loyalty offering to give customers more ways to earn and redeem miles.” Hopefully, this means the addition of award redemptions. However, for now, AAdvantage members enjoy elite status bonuses only when flying on GOL.

AAdvantage elites get benefits when flying on 16 partner airlines. The perks you’ll enjoy vary between airlines, so knowing the perks that you’re entitled to can help when deciding which airline to fly.

Perhaps you avoid booking British Airways’ “hand baggage only” fares and opt to fly transatlantic on American Airlines, Finnair or Iberia instead to use your elite free checked bag benefit. Or, when flying domestically, you’ll know to prioritize JetBlue and Alaska over other options thanks to the reciprocal elite perks you get on both.

Keep in mind that not all airline agents will be aware of all reciprocal elite perks, so you may need to gently inform agents who won’t let you use a stated benefit.

You want a travel credit card that prioritizes what’s important to you. Here are our picks for the best travel credit cards of 2021, including those best for: