VeriFone PAYware Mobile for iPhone available now

If you're looking for a new method of conducting sales transactions, there's another iPhone accessory ready for the job. VeriFone's PAYware Mobile accessory seems simple enough, but it might have a lot of strings attached.

Compatible with the iPhone 3G and 3GS (and maybe the 4G soon), the PAYware Mobile slips on and attaches to your smartphone, bundled with a built-in stylus for signature-required transactions. (An extra layer of security couldn't hurt with this thing.) For those who are worried about security, the device uses VeriShield Protect data and card encryption.

The device is also paired with an application that is free in the iTunes store. Strangely, the app is also listed for the iPod Touch, although the PAYware Mobile site says that the accessory is not compatible with the iPod Touch nor the first-gen iPhone. (Nothing is compatible with that darn thing anymore.)

The program does allow you to add on fees like state sales tax and gratuity. The accessory itself is also free, although there is a $49 activation fee. Not to mention a two-year contract and merchant fees for each sale, which can be as low as 2% per transaction, but you'll need to contact VeriFone to sort those matters out.

[Image via Engadget]