The new iOS update 8.1 and the new form of payment "Apple Pay" go live in just a few hours!
I know, some of you are skeptical about Apple Pay, but personally I look forward to it and I am planning to start actively using it wherever it is accepted. In fact, the Touch ID coupled with Apple Pay is the main reason I have just upgraded my iPhone and my iPad.
Of course time will tell how widely the Apple Pay will be accepted and whether it's truly much more secure and convenient than a credit card. But if anyone can make this new form of payment work - it's Apple.
Here is what I really like about Apple Pay:
1. Convenience: Using the phone with its Touch ID fingerprint reader is easier than signing a credit card receipt or even entering a Zip-code at a gas station.
2. Security: Your credit card number is not stored on the phone or at Apple. It is only used initially to bind your device ID to your bank account. The CC number is not used during any purchase transactions: instead, some unique (one-time) numbers based on your device ID will be used for each transaction. Which means that even if someone gets access to all of your transaction information, they will not be able to use that for further transactions. Of course, time will tell if all these claims stay true for a long time, but I can't imagine this to be less secure than the current process of sending your credit card number and leaving your credentials with every merchant.
3. Privacy: Apple claims not to keep any records of your transactions and the merchant doesn't even get your name. Only your bank will have all the details, as always.
4. Acceptance: The list of banks and merchants already committed to Apple Pay is pretty impressive and is expected to grow very quickly.
Will Apple Pay replace credit cards? I don't think so. But I believe it will be a success and will become a popular form of payment with its share of the market. I was flying for business last week and I was amazed how many people are using their phones for their boarding passes. It's just convenient! I think paying with a phone will be pretty popular too!
Ilya
I know, some of you are skeptical about Apple Pay, but personally I look forward to it and I am planning to start actively using it wherever it is accepted. In fact, the Touch ID coupled with Apple Pay is the main reason I have just upgraded my iPhone and my iPad.
Of course time will tell how widely the Apple Pay will be accepted and whether it's truly much more secure and convenient than a credit card. But if anyone can make this new form of payment work - it's Apple.
Here is what I really like about Apple Pay:
1. Convenience: Using the phone with its Touch ID fingerprint reader is easier than signing a credit card receipt or even entering a Zip-code at a gas station.
2. Security: Your credit card number is not stored on the phone or at Apple. It is only used initially to bind your device ID to your bank account. The CC number is not used during any purchase transactions: instead, some unique (one-time) numbers based on your device ID will be used for each transaction. Which means that even if someone gets access to all of your transaction information, they will not be able to use that for further transactions. Of course, time will tell if all these claims stay true for a long time, but I can't imagine this to be less secure than the current process of sending your credit card number and leaving your credentials with every merchant.
3. Privacy: Apple claims not to keep any records of your transactions and the merchant doesn't even get your name. Only your bank will have all the details, as always.
4. Acceptance: The list of banks and merchants already committed to Apple Pay is pretty impressive and is expected to grow very quickly.
Will Apple Pay replace credit cards? I don't think so. But I believe it will be a success and will become a popular form of payment with its share of the market. I was flying for business last week and I was amazed how many people are using their phones for their boarding passes. It's just convenient! I think paying with a phone will be pretty popular too!
Ilya
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