Mobile payment is the most common payment method in China today. WeChat Pay and Alipay are the two most mainstream payment methods in China. Mastering one of these two payment methods will greatly enhance your convenience while traveling within China.
In this article, we will guide you through the process of setting up and using mobile payment, as well as provide solutions to some common issues you may encounter.
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Payment by Popular Apps: WeChat and Alipay
WeChat and Alipay can both be used for most things in China: in-store and online shopping, Didi and taxis (with QR code), food delivery, train/plane tickets, and bike shares.
Alipay
Based on the information gathered from our Facebook group of tourists who have visited China and successfully utilized mobile payments, Alipay is the best option due to its superior success rate in both account linking and payment transactions. Additionally, we recommend downloading WeChat as a backup option. Good idea to have some cash on hand as a backup as well.
Most retail outlets and taxi drivers display both WeChat and Alipay QR codes for payment, so if one isn't working for some reason, there is always the other.
If you're in Hong Kong, consider downloading the Alipay HK version. If you're in the Chinese Mainland, simply download Alipay.
WeChat is China's most popular mobile payment, communications, social media, and even entertainment app, with mini-programs for everything. Over 90% of Chinese people use it and over 80% pay using it!
After downloading WeChat, if you discover that it's in the Chinese version, you'll need to adjust the language settings within the WeChat app.
Download and Set Up WeChat Payment
How to Set Up WeChat and Alipay Payment?
To register for Alipay/WeChat as an overseas user on your mobile phone, follow these steps:
- Download the Alipay/WeChat app from your device's app store.
- Tap on the "Sign Up" or "Register" button to start the registration process.
- Enter your mobile phone number (registering with a foreign phone number is acceptable) and tap on the verification button to receive a confirmation code via SMS.
- Enter the confirmation code you received to verify your mobile number and follow the prompts to complete the registration.
How to Link Your Bank Card with Alipay
Starting from July 2023, both WeChat and Alipay have introduced the option of binding foreign bank cards including VISA, Discover, Diners Club, etc.
- Step 1: Open Alipay, go to "Me" at the bottom-right corner.
- Step 2: Tap on "Bank Cards" and click "+" at the top-right corner.
- Step 3: Add your card by entering your card number or scan your card and follow the prompts to finish the binding.
How to Link Your Card with WeChat
- Step 1: Open WeChat on your phone, find the "Me" section on the bottom, and then tap "Services".
- Step 2: Tap "Wallet", then select "Cards".
- Step 3: Click "+ Add a Card" and follow the prompts to finish the binding.
FAQs
Below are several common issues encountered by foreigners when using Alipay and WeChat Pay:
1. ID Verification Failure:
When verifying your ID, you must use your passport. Ensure the accuracy of your information, proceed through the setup process attentively, and carefully read each instruction.
If you encounter issues receiving a confirmation code during identity verification when adding your mobile number, consider the following solutions:
- Confirm that you've selected the correct area code for your country.
- Attempt using mobile data.
- Contact your mobile service provider and request whitelisting of WeChat numbers or texts originating from China. Afterward, restart your phone and try again.
2. Problems with Binding a Bank Card:
One possible scenario is that your bank doesn't support payments in China. It's crucial to inform your bank beforehand and ensure your card is authorized for international use.
If you successfully added a bank card before departing for China but encounter payment issues in China, try removing and re-adding your card, and enable two-step verification. This could resolve the problem.
Additionally, remember the payment password set during signup, as it will be required for future transactions.
3. Difficulty Finding the "Service" Option in WeChat:
If you're unable to locate the "service" option when linking your card with WeChat, consider the following workaround:
- Request someone to send you a small amount of money (e.g., a penny) to your WeChat account.
- Once you receive the money, follow the prompts to complete the verification, which may include tasks such as taking a selfie with your passport, taking a picture of the first image of your passport, or providing address details.
- After completing the verification process, expect to receive confirmation within two to three days that your verification has passed.
4. Transaction Fees:
Transaction fees are waived for single transactions under RMB 200. A 3% transaction fee will be applied for single transactions above RMB 200. You can make multiple payments of RMB 200 each to avoid the 3% service charge. (WeChat and Alipay have the same requirements for transaction fees.)
If you request a refund for a transaction, the transaction fee will be reimbursed in proportion to the refund amount.
If you plan to reside, work, or study in China for an extended period, it is advisable to obtain a Chinese phone card and bank card. This will enable you to fully utilize the payment features of Alipay or WeChat, including the ability to transfer money and receive red packets.
How to Pay by QR Code in China
Scan the QR codeTo pay using WeChat or Alipay in China, there are two methods.
The first method is scanning the QR code displayed by the shops. Open the app and tap "+" on the top right corner, and select "Scan". Then you can scan the QR code displayed by the shops and enter your payment amount and password to complete the transaction.
The second method is the merchant scanning your payment QR code. Simply present your payment QR code in front of the scanning device. The corresponding payment amount will be automatically deducted from your account.
To access the payment QR code on Alipay, you can find it under the search box on the homepage by tapping on "Pay/Collect". On the other hand, for WeChat, you need to tap on "Me" located in the bottom right corner, then select "Wallet", and finally tap "Money" to find the payment QR code.
Payment SuccessfulIf your network connection is weak and it is taking more than a few seconds, you could try walking your phone around or holding it up for a better signal. It will usually then go through. Some establishments will let you use their Wi-Fi if your data connection doesn't work.
The author has once or twice walked out of a shop before payment has gone through (totally unintentionally and due to a slow connection), necessitating the cashier to call him back! So do check completion before putting your phone away: it may fail putting you in the criminal position of being a non-paying customer!
How to Shop Online with Alipay or WeChat in China
Most online shopping in China is taking place on mobile devices now using the apps Alipay (for Taobao/Tmall) and WeChat (for Jingdong).
Alipay has the advantage that it is run by the same company (Alibaba) as the biggest online retail platforms — Taobao and Tmall — which don't accept WeChat. However, WeChat has brought out its own online shopping program — Jingdong, which has proved very popular, and which doesn't accept Alipay.
Making a purchase on a China online shopping platform by PC/laptop would also follow the same app payment authorization code etc. As you're probably already familiar with online shopping, and it's dead easy… Basically, once what you buy has been selected and added to your " cart", select empty the cart, fill in your delivery details, and pay via Alipay or WeChat Pay authorization, as described above. This works for everything from buying a bed to a burger delivered straight to your door.
How to Transfer Money by WeChat or Alipay in China?
Transfer via WeChat PayPerson-to-person transfers are far more commonly performed by WeChat users than by Alipay users. For Alipay, you'd need to tap 'transfer' at the bottom left of the home screen and enter in the Alipay account details of the payee.
For WeChat, you'd need to have the payee as a contact in your app. (Contacts can be added by searching account details, scanning the payee's "Me" page QR code, or via a WeChat group, etc.) Simply tap on the contact, select the transfer option from the bottom left "+" menu, enter the amount, and authorize as above.
Transfers are a great way to split bills and make more informal "payments". (Red Envelopes are very similar in function, but these are used for gifts rather than payments — a cultural distinction.) See more on the payment guides for Alipay and WeChat.
Other Payment Apps You Might Use
UnionPay, which is the umbrella organization for all China's card payment and ATM services, has skipped recent card developments (tap-to-pay) and offers tap-and-go payments with its phone app as well as the scan-and-pay options offered by WeChat/Alipay, but it hasn't caught on as much as the top two tech giants' apps, simply because it is a comparatively stand-alone, single-function app.
Other smartphone payment apps also suffer from having isolated functionality and lack of support in China. The likes of Apple Pay and Samsung Pay, which are popular in other countries have very few users in Chinese mainland, where there are relatively few iPhone users and Samsung has been squeezed out of the Android market. Chinese phone manufacturers have chosen, for obvious reasons, not to compete with the app payment giants.
Payment by Internet Banking
In this age of digital currency and numerous online middle-man transaction services, there are numerous other ways of paying that are mainly for the more technically-literate. Though they may serve a niche purpose for you, they would go beyond the mainstream remit of this article.
So, to finish with, we will stick to the three main types of Internet banking payment used in China: China bank platforms, foreign bank platforms, and PayPal.
China Bank Accounts
If you have a China Internet banking account, this would be another payment method you could use in China. It is more awkward and time-consuming than app payment. You'll need to enter the payee's China bank account details and authorize the payment via a texted code from your bank. However, it is useful for formal repeat payments though, like paying rent or bills, etc., as you get a good legally sound record of transactions that can't be lost with your phone or app account, so it's safer. See Renting an Apartment in China: An Expat Guide.
Foreign Bank Accounts
You can probably transfer money to one of the larger China banks (Bank of China or Bank of Communications mainly) using your foreign account's Internet banking platform and SWIFT/IBAN code etc., but making direct payments to a business/individual with a bank account in China in this way won't work due to international banking restrictions.
Payments by PayPal
Some larger international companies in China (like China Highlights) accept payment by PayPal. This is one of the best ways to pay directly using your foreign bank funds.
Unfortunately, PayPal cannot be used on Taobao (as it would compete with Alipay). Of course, you can still use PayPal for your internationally shipped purchases from the likes of Amazon, but this is again straying from payment methods in China.
Traditional Payment Methods
For most expats, gone are the days when you might visit an ATM in China every couple of weeks or so to withdraw a bunch of 100-yuan notes from your salary to replenish your wallet's supply. Even when using your Chinese bank card for larger purchases, cash would be needed regularly for taxis, visits to the market, and countless other small transactions.
Foreign cards, though useful for travel and excellent for Visa/Mastercard/et al. withdrawals, never have been an expat favorite in China because of inter-bank and overseas fees, not to mention unfavorable exchange rates compared with using local currency. In fact, the use of plastic, foreign or domestic, never did really catch on in Chinese mainland.
China bank cards can be swiped for payment. Both passcode entry and a signature on carbon copy receipt are usually required. Tap-to-pay or pay by phone call and security strip isn't usually offered for Chinese (or foreign) cards on Chinese mainland. This is typical of China's bureaucratic banking, where a trip to the bank often entails lengthy queues and processes. China's banks have not been as free as the tech sector to make life easier for the customer.
Around the mid-2010s, most made the transition from mostly cash to mostly smartphone payments, whether by WeChat or Alipay, or even banking app for more formal payments. Now [2024], offering cash or even a card is done almost apologetically, as even the humblest vegetable seller proudly displays his/her WeChat QR code.
Traditional payment methods now seem to be a mark of being a foreign tourist in China (a foreigner who pays by WeChat is seen as a local; one who pays by cash or foreign card comes across as transient), so for more on cash and cards (from a travelers' perspective), see our page on A Practical Guide to Chinese Money.
China Highlights Is Here to Help
We can cut all the hassle of paying for things in China with a one-stop payment for everything on your trip! (This may save you money as well as time and stress.) And we can often help you to use the payment methods mentioned above.
Are you having trouble with life in China or traveling around? You may want to seek help from a company who have been serving travelers/expats in China for over two decades. Contact us.
Want to discover more of China's highlights? See our Most Popular Tours and New Experiences in China