In Iceland, where cash payments have all but disappeared, card-based payment is also the standard online, and the use of tokenized wallets loaded onto a smartphone has quickly taken hold. Google Pay supports one-click checkout with saved cards on Android smartphones and in Chrome, matching the habit of Icelandic consumers who want to complete a purchase without entering a card number every time.

For businesses with meaningful Android traffic — small-ticket, repeat-purchase commerce prone to cart abandonment, or mobile games and app services, for example — offering Google Pay alongside Apple Pay as a paired wallet option is close to a standard setup in the Icelandic market.

When a consumer selects Google Pay at checkout, an authorization request is sent with tokenized card information along with device-unlock authentication (biometric or PIN). The SCA (Strong Customer Authentication) requirement under the EEA's PSD2 is satisfied through the combination of this device authentication and 3DS2. From there, the flow is the same as a card payment: Hecto Financial receives and converts the ISK amount the Icelandic consumer paid, and settles it in whichever of USD, KRW, or JPY was set under contract.

A single integration with Hecto Financial lets a Korean corporation consider adding Google Pay as a payment option without a local contract in Iceland. Support terms (settlement cycle, fees, currency options) vary by merchant industry and transaction volume, so advance consultation is needed.

• Business registration country

  Confirm contract eligibility for Korea-registered businesses

• Sales channel

  Integration method and priority differ depending on your online sales channel mix — owned storefront, marketplace, mobile app, and so on

• Product category

  Check in advance whether your products fall under a category restricted by the Google Pay operator's merchant policy

• EEA payment regulations

  Iceland is an EEA member state, not an EU member, and PSD2/SCA obligations apply uniformly across the EEA (see official sources below)

The settlement structure becomes clear once you separate collection from payout. Collection is handled by Hecto Financial in Iceland's local currency, ISK, and payout is made after currency conversion, in whichever of USD, KRW, or JPY the merchant chose under contract. The settlement cycle and fees are contract matters. Refunds are credited back to the consumer's card based on the tokenized original transaction, and given the EEA-wide 14-day right of withdrawal, it is recommended to set refund deadlines with some margin.

• Seðlabanki Íslands (Central Bank of Iceland)Official information on Iceland's payment system and financial supervision (the central bank also carries out the financial supervisory function). If actual regulations differ from this page's content, the official source takes precedence.