Blocking Apple Pay is Anti-Consumer

[Solandri]

The bottom line is that blocking Apple Pay is anti-consumer.

Everyone and this op-ed is missing the real problem. CurrentC is anti-consumer (draws from debit account so consumers end up paying for fraud). Credit cards are anti-merchant (chargebacks mean the merchant is out the product and the money, so they pay for fraud). Neither can solve the problem of fraud in electronic transactions.

The real problem is that Visa, Mastercard, the banks, etc. have shifted liability away from themselves, and turned it into a game of shifting liability between consumers or merchants. Why does credit card security suck? Because consumers and merchants don't control the transaction network, so they are not in a position to improve security. The companies which operate the credit card networks can improve security, but because they've shifted liability to the merchants (credit cards) or consumers (debit cards), they have no incentive to improve security.

If you want to see real improvement in security for electronic transactions, stop making the consumer or the merchant liable. Pass a law putting liability squarely on the organizations who are in a position to improve security - the credit card companies and the banks.

And if you're curious, those exorbitant credit card interest rates pay for deadbeat credit card holders who default on their bills, not for fraud.

 

[HyNrgy]

How is this any different than a merchant choosing NOT to accept American Express?

That would be the equivalent of them not accepting Apple Pay, absolutely. However, what they are doing is blocking all forms of NFC payment currently available and pushing for their own method. It would be the equivalent of them not accepting any form of credit or debit payments except for their store-issued credit cards. That just doesn't sit right with me.

it would be interesting if all stores did block credit and debit.....might force most of us to go back to the idea if i don't have the cash for it i shouldn't buy it

 

[hetneo]

"These same payment terminals also supported Google Wallet, although that solution for Android phones never took off."

Right, except that in 2013 in US some 40% of mobile payment users used it. In 2012 worldwide $12.8 billion dollars were payed with it, in same year mobile payments using PayPal were in excess of $14 billions. Yep, it never took off.

 

[f-14]

NFC the easiest way to commit fraud, take a screen shot of the guy infront of you phone when he pays, doctor it and display it to store employees when you leave with the same items, also intercept the radio transmissions and hack the system, drain the bank accounts of both parties and funnel it to some place out of national jurisdiction and just keep wiring it until it's lost and you can cash out on it.

it's already happening to apple pay from what i've been told by secret service agents who were called in by the banks and credit card companies involved.

 

[Guest]

Why is this a big deal now? Google has had this for years and now when apple does it.... its all blown up.

 

[Peter Curtis]

It would be a good move for phone users to head over to Google Play Store or iTunes and give the app one star. A good boycott will help the consumer in the long run.

 

[Titillating]

Why is this a big deal now? Google has had this for years and now when apple does it.... its all blown up.

They're blocking all NFC payments, including Google Wallet. It's a big deal because it affects both sides of the divide. Stop looking at it as "Apple vs. Google" and realize that it is a "consumer vs. merchant vs. bank" issue.

 

[bookwormsy]

The thing many aren't understanding is that these retailers either a) had terminals that USED to support NFC payments for MasterCard PayPass/Visa PayWave (Google Wallet emulating a MC) or b) have to upgrade ANYWAY to an EMV enabled terminal by Oct 2015 (lest they, the merchant, be responsible for fraud), many of which have NFC anyways. Apple Pay is just Apple's version of Google Wallet. My issue with these places is that they are REMOVING functionality, not refusing to add it.

 

[bookwormsy]

@HyNrgy, no, cash only is fucking stupid. I'm not going to be in the habit of carrying around hundreds in cash, dealing with the change and junk just to save the merchants a fee. Especially when I get money for using it. If you aren't responsible enough to pay off your card monthly, bully for you.

 

[DawgnIT]

If Apple had embraced NFC years ago like many other tech companies then perhaps they could have partnered with Google and the credit/banking industry to make a standardized digital wallet instead of trying to control everything like they always do.

I don't own an i-device so frankly I don't care if ApplePay takes off. Especially since several companies I deal with are spamming me about being able to use ApplePay. Why didn't these same companies back Google Wallet which has been available to more users including iOS users?

 

[Brett Duncan]

I don't care if its Google Wallet or Apple Pay that becomes a normal way to pay, but CurrentC is stupid. I am actually going to stop shopping anywhere that uses CurrentC since it is a huge security threat.

 

[Barantos1]

Another paid apple article?

 

[Damien Justice]

The fact that its apple only is the killer. Only a very limitted number of people can use it. Apple control it and simply adds to their control of their followers, and it is of no benefit to business or consumers who don't pledge an elegance to Apple.
Why not have a system that is compatable with standard current NFC systems and should be controlled by a seperate entity or watchdog, not a company who boast the highest markup and profit on products. Apple does nothing for nothing so this system will be making them billions. Who pays is the question.

 

[Brett Duncan]

The fact that its apple only is the killer. Only a very limitted number of people can use it. Apple control it and simply adds to their control of their followers, and it is of no benefit to business or consumers who don't pledge an elegance to Apple.
Why not have a system that is compatable with standard current NFC systems and should be controlled by a seperate entity or watchdog, not a company who boast the highest markup and profit on products. Apple does nothing for nothing so this system will be making them billions. Who pays is the question.

Okay, obviously you are living under a rock and don't realize that Google Wallet is supported everywhere Apple Pay is and more. So really if Apple succeeds then we all benefit; personally, I currently have an iPhone but family members use androids so it would just be better for everyone if NFC overall won.

 

[Damien Justice]

The difference is apple are trying to control the whole NFC rather than try to work with what is already there.
Apple, being apple, like to control and log and monitor what their users do, what they buy, as well as dictate what they can do with it etc.
Its already been seen where apple forces their own warped ideas and values on what can and can not be done with "THEIR" phones etc, such as limiting types of use, where they can be used, types of apps etc.
If you rely on Apple to approve your financial services as well, then what stops them dictating what you can and can ot buy. EG if you want to buy a stick book, or an android product, etc. They could simply "not approve of those purchases because of their own personal so-called values.!"
Google and other payment systems are free for the end user to do with as they will. No morale judgement, and dictatorship.
I agree its good that apple has finally caught up with NFC etc but the fact that the only method to use it, is their own controlled, monitored, and limited system.
Yes I dumped apple after their logging, tracking, backdoor and NSA fiasco they were caught out on, and that too throws a bit of doubt into the real security and privacy of the system. But thats another story!

 

[Neohavock]

The fewer and lower credit processing fees a store pays, the lower their cost, the lower the consumers costs.
If you ever ran a store, especially one that accepts credit & debit cards you would know that.
That is also the reason many stores do not accept AmEx cards.
And it seems in the real world, and real world usage, Apple owners that use Apple Pay, are not a majority let alone significant percentage of consumers for the expense.