Apple Pay is in full effect today rolling out the new pay system to over 10 million iPhone 6 and 6 Plus users as well as the iPad Air 2 and Mini 3.
At the Apple Event Tim Cook said,”It’s going to change the way we pay for things.”
The overall setup is simple. The available app Passbook will be able to store all your credit cards. Using your iTunes account, enter the security code of the credit card or debit card and it stores the card to Passbook.
Adding additional cards can be added by using the iSight on the iPhone or by typing the information of the card manually. The first card entered becomes the default card, but by opening up the Passbook other cards can be selected to make purchases.
To make a payment at participating stores, just hold your iPhone near the contactless reader with your finger on Touch ID and a subtle vibration and beep completes the transaction. The TouchID makes it easy.
Security is probably the biggest concern for users. Apple Pay limits the visibility of card number and identity. Also the cards actual number is no longer used, instead a unique Device Account Number is assigned, encrypted and stored in a Secure Element within a chip solely for the secure purpose.
The numbers are never stored on the Apple servers. When the purchase is made the Device Account Number is used along with a transaction-specific dynamic security code. The iPhone, iPad, and the soon to come next year Apple Watch all operate in this manner.
If the iPhone or iPad is lost or stolen, Find My iPhone can be used to place the device in Lost Mode or wipe the device completely.
The benefits are appealing and is probably why a lot of major banks like American Express, Chase, Bank America, Wells Fargo and Capital One have already signed on. More than 500 other banks are still getting on board as well as merchants like Target, Walgreens and Subway. Starbucks already uses Passbook, but will be participating soon with the new pay system. A long list of merchants are already available so it’s hard to not imagine Apple Pay not catching on.
Apple Pay could be the next evolution for Apple and the way purchases are made.
WILL FIX COMPUTER FOR CAFFEINE SHIRT @AudaciTech.com