Digital Trend Alert


What is Apple Pay, Apple Cash and Apple Card?

What is Apple Pay, Apple Cash and Apple Card?

Carol Ingley, President, Media Mogul Enterprises

Week of July 27 through Week of August 24, 2020

Digital Trends: Apple Wallet, Apple Pay, Apple Cash, Apple Card, Samsung Pay, Google Pay, PayPal's Venmo, Square Cash, Chase QuickPay


     In the Wallet. At retail stores, when checking out, there is a point-of-sale device (also known as POS) where you insert your payment card if not paying by cash. But if you’re using a service like Apple Pay, no contact is needed. Authenticate yourself, then just point your iPhone or Apple Watch at the POS and you’re on your way.

     It’s not just Apple Pay that’s offered by Apple. There’s also Apple Cash and Apple Card.  Since they all sound similar, it can be tough to keep them straight. So how does it all work?

     In one way or another, Apple Pay, Apple Cash and Apple Card all live in Apple Wallet, although they are marketed as separate digital services. That’s where it can get a little fuzzy trying to piece it all together.

     Let’s start with Apple’s Wallet. According to Apple’s website, “With Wallet, you can keep your credit, debit, and prepaid cards, store cards, boarding passes, movie tickets, coupons, rewards cards, student ID cards, and more in one place.” This catch-all phrase, however, can be divided into four categories 1) Passes, tickets, coupons, rewards; 2) Apple Pay (debit and credit cards are stored in the Wallet); 3) Apple Cash and 4) Apple Card. The focus here is on the last three: Apple Pay, Apple Cash and Apple Card -- how the digital services work and the role that Apple Wallet plays.

Apple Wallet

     Apple Pay. Apple Pay allows you to make contactless, secure purchases, whether it is in stores, in apps or online. Apple Pay is the name of the digital service. It works in conjunction with the debit and credit card information that is stored in Wallet.

     Apple Pay has competitors – Samsung Pay and Google Pay -- that work in a similar fashion but they differ on which devices can use them. Apple Pay is made for the iPhone as well as Apple Watch. Samsung Pay works with high-end Samsung devices whereas Google Pay can only be used with Android phones.

Competing Contractless Payment Services

     Here are the steps to using Apple Pay with your device according to Apple: 1) Look for the Apple Pay symbol on the checkout terminal; 2) Double click the side button on your iPhone; 3) Glance at your screen for facial ID 4) Hold the top of iPhone near radar screen; 5) Done

     Apple Cash. In order to use Apple Cash, you must add an eligible debit or prepaid card into the Wallet app. Once you load cash from the debit card into Apple Cash in the Wallet app, you can use the Wallet to fund Apple Pay.

     Or you can send and receive money in the Messages app. To send Apple Cash in the Messages app, choose the Apple Pay icon underneath the message box. When you send cash in this way, Apple charges a 1% fee, subject to a $0.25 minimum and a $10 maximum. You can also get cash rewards sent to Apple Cash when you use Apple Card.

     Apple Cash has many digital payment competitors including PayPal’s Venmo, Square Cash and Chase QuickPay.

Apple Cash Competitors

     Apple Card. Yes, Apple is in the credit card business with Apple Card but it is mostly a digital service. A physical card is also an option.

     You can find Apple Card in the Wallet app. Note that Apple didn’t launch the Apple Card alone. It partnered with Goldman Sacks.

    Seasoned players in the credit card business compete on rewards. Not Apple. It has a whole ecosystem to offer its Apple Card users.For example, Apple Card offers 3% back if you spend with certain selected partners. This money is transferred immediately into Apple Cash. The cash back rewards will never expire and can be used in a number of ways: 1) spend via Apple Pay; 2) pay off your Apple Card balance; or 3) transfer to a bank account.

     Apple, via Wallet, Apple Pay, Apple Cash and Apple Card is taking its payment system framework seriously. It looks like it's in it for the long haul but there's plenty of competition. Apple's aces are the iPhone, iPad, Mac and Apple Watch -- plus whatever new device happens to be released.



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