Is Apple Pay Safe?

US News | By Ben Luthi | Apr 12, 2019

apple pay and security 1 - Is Apple Pay Safe?Apple Pay is secure and convenient, as long as you use it correctly.

No payment method is entirely safe from fraud. But Apple Pay provides cardholders with several layers of security that can protect against some common forms of credit card theft.

If you want to try Apple Pay, knowing how it works is important as well as how your credit card information is safeguarded and what you can do to stay protected while using it.

What Is Apple Pay?

Apple Pay is a mobile wallet for Apple devices such as iPhones and Apple Watches that allows you to make purchases in stores, in apps and online securely without handing over your credit card information every time.

See:  The growing cost of cybersecurity

In a store, the mobile wallet uses near-field communication technology – it allows two devices placed within a few centimeters of each other to exchange data – to transmit your card information. You just need to verify your identity with the Touch ID or Face ID feature, then tap your device to the store's card reader to process the payment.

To keep your information private, Apple Pay creates a unique token every time you use it, so merchants never get your actual card number. "Instead of being static data that is easily cloned if stolen," says Andrew Barratt, managing principal at Coalfire, a cybersecurity advisory firm, "it adds some dynamic elements to the data that are used when processing your card payment, making cloning for fraudulent use more difficult."

What's more, Apple doesn't store your card number on your device or its own servers.

Why Apple Pay Is More Secure Than Using a Physical Card

Trusting technology can be scary, especially if you're accustomed to a certain process. But using Apple Pay can protect your credit card information in ways that using the card can't.

It requires extra verification. With a physical credit card, all a thief needs to successfully make a purchase is your card and a merchant who doesn't match cards with IDs. And the four credit card payment networks – Visa, Mastercard, American Express and Discover – no longer require signatures.

With Apple Pay, however, someone who steals your device will have a hard time using it to make purchases. The app requires that you verify your identity using your passcode or the Touch ID or Face ID feature, and the latter two can be tough to fake.

It doesn't share your card information. Every time you make a purchase with Apple Pay, whether in a store, in an app or online, the mobile wallet creates a unique code for processing the transaction instead of sharing your credit card number.

"The credit card number is never given to the merchant, and when used online, never travels across the internet between your device and the merchant site," says Thomas Reed, director of Mac and mobile at cybersecurity firm Malwarebytes. "If by some chance a criminal were to intercept this data, it's a one-time-use code, so it couldn't be abused in the same manner as a credit card number."

See:  Global payments: Expansive growth, targeted opportunities

Your credit card's EMV chip uses the same technology, called tokenization. But not all merchants have chip readers, and EMV chips don't work when you make in-app and online purchases. As a result, Apple Pay can especially be helpful for mobile and online shopping, where storing your credit card information could make it vulnerable to data breaches.

Your information can't be skimmed. If you're shopping with a merchant who requires you to swipe your card instead of use the chip, the static information on the magnetic strip can easily be stolen if a thief has installed a card-skimming device on the card reader.

Because Apple Pay doesn't share static information or require a swipe, Barratt says, it's significantly safer than using a physical card in that way.

It doesn't store your card information on your device. Apple neither shares your card information with merchants nor keeps your card information on your device or its own servers.

"An attacker who gains access to your device or your iCloud account would not be able to get your credit card information," Reed says. The same goes if a hacker somehow manages to gain access to Apple's servers.

You can suspend the service. If you've activated the Find My iPhone feature or a similar feature on another Apple device, you can suspend the Apple Pay app by placing your device in "lost mode." This will keep you from having to cancel all of your credit cards, which is what you'd need to do if you think someone has stolen your wallet.

Tips for Staying Safe When Using Apple Pay

Serious security concerns have not emerged with the technology Apple Pay uses, but some potential pitfalls await if you're not careful with your device. Here are some tips for ensuring that your device and your credit cards stay safe.

Keep your device passcode secure. Even if you use the Face ID or Touch ID features, you're required to have a passcode on your Apple device as an alternate way to verify that it's yours.

See:  Inside the power struggle between big banks and fintechs to modernize financial services

If you share your passcode with others or use one that's easy to crack – such as 0000 or 1234 – it could give them easy access to create their own biometric profile. Biometrics allow consumers to be ID'd and authenticated based on a set of recognizable and verifiable data specific to them, such as fingerprints.

If they can create their own profile, they'll be able to make purchases through your Apple Pay function.

Set up Face ID or Touch ID. While biometrics aren't required to use Apple Pay, they're not as easy to get past as a four-digit passcode.

Don't allow others to add their biometrics. Permitting a significant other, family member or friend to add Face ID or Touch ID credentials to your phone may not seem like a big deal. But if the relationship turns sour, they'd have easy access to use your Apple Pay app if they can get hold of your device.

Avoid adding cards on an unsecure Wi-Fi network. Public Wi-Fi networks are convenient ways to get online at the coffee shop or the airport. But be wise about what you do when you're connected.

That's because hackers can effectively eavesdrop on the information you send from your device to a service or website. Fraudsters can even create a counterfeit mobile wallet registration system similar to Apple Pay's and lure you into sending them your card information unknowingly.

Continue to the full article --> here

 


NCFA Jan 2018 resize - Is Apple Pay Safe? The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org

Latest news - Is Apple Pay Safe?FF Logo 400 v3 - Is Apple Pay Safe?community social impact - Is Apple Pay Safe?

CONGRATULATIONS TO THE 2020 FINTECH DRAFT PITCHING AND DEMO COMPANY WINNERS!



FFCON20 Pitching and Demo Winners - Is Apple Pay Safe?



NCFA COVID 19 letter to government to support Fintechs and SMEs - Is Apple Pay Safe?

NCFA Newsletter subscribe600 - Is Apple Pay Safe?

UK Government | Department of Digital, Culture, Media and Sport | Nov 16, 2020 Opening remarks from the Minister for Digital Infrastructure, detailing the government's plans for digital identity in the UK Good morning. It’s a great pleasure to be invited to speak at Identity Week 2020. I truly believe that digital identity is one of the most exciting opportunities for growth and security in the UK economy, and I am excited to share my vision with you today. Digital identity products are a vital building block for the economy of the future. They will enable smoother, cheaper, and more secure online transactions; they will simplify people’s lives, and boost business. Digital identity solutions can also ensure that people have greater control of their identity data, and provide greater security and privacy standards. See:  FFCON Week 5 Wrap-up: Digital Identity & Convergence Marketplaces It has the capacity to allow more people to open a bank account, to allow more people to start a new job faster, and to improve the safety and security of travel both within and beyond the UK — whether for business or pleasure. Covid-19 has increased the demand for online services: 63% of people are learning ...
Read More
Matt Warman - Is Apple Pay Safe?
Norton Rose Fulbright | Walied Soliman | Nov 23, 2020 The following is an abridged version of a keynote speech given by Walied Soliman, Canadian Chair of Norton Rose Fulbright Canada LLP and Chair of the Capital Markets Modernization Taskforce, at the OSC Dialogue Conference on November 4, 2020. Whenever I speak about the capital markets, I like to reflect on the incredible privilege we have of being practitioners and stakeholders in this area. In just over 100 years, Ontario has developed what is widely regarded as one of the most sophisticated capital markets regulatory frameworks in the world. Ontario was five years ahead of the federal government in the United States in regulating the capital markets in an organized manner. We were ahead. We cannot fall behind. It was with this backdrop that Premier Doug Ford and Minister Rod Phillips had the vision to form the Capital Markets Modernization Taskforce, reporting to the Minister of Finance, to conduct a broad review of the state of our capital markets in Ontario and determine what we can do to modernize the regulatory framework and ensure that we continue to be global leaders. See:  Big Changes In Financial Regulation: Dialogue With The ...
Read More
Walied Soliman - Is Apple Pay Safe?
Lenczner Slaght | Shara N. Roy and Isabel Dávila Pereira | Nov 12, 2020 On November 4, 2020, the Ontario Securities Commission (OSC) held its annual OSC Dialogue. Financial industry leaders, senior regulators and investors came together virtually to discuss changes in the industry and how they are working together. This year, the current COVID-19 global pandemic informed both the virtual setting for and the theme of the OSC Dialogue. The main theme of the discussion was the link between the world's physical and financial health brought forth by the pandemic. The OSC Dialogue was divided into five sessions, and in spite of the different topics and perspectives, one key issue was at the forefront of the discussion: the role of the OSC in fostering economic growth, adapting to technological innovation, and incorporating principles of Environmental, Social and Corporate Governance (ESG). The Capital Markets Modernization Taskforce and the Expansion of the OSC's Role In February of this year, the Ontario government established the Capital Markets Modernization Taskforce, which is in charge of making recommendations to the Minister of Finance for the review and modernization of the province's capital markets regulations. Walied Soliman, Taskforce Chair and Canadian Chair of Norton Rose ...
Read More
OSC dialogue event - Is Apple Pay Safe?
ASC | Denise Weeres | Nov 20, 2020 Calgary – The Alberta Securities Commission (ASC) and the Financial and Consumer Affairs Authority of Saskatchewan (FCAA) are seeking input on a proposed new prospectus exemption designed to provide greater access to capital for Alberta and Saskatchewan businesses and broaden investment opportunities for Alberta and Saskatchewan investors. “As our provinces are dealing with the economic impact of the pandemic, we are looking for new ways to better facilitate access to capital, while still protecting investors,” said Roger Sobotkiewicz, Chair and CEO of the FCAA. “Efforts are being taken to adapt our existing industries and diversify our economies. By innovating as regulators we can help support the growth of the innovation economy,” added Stan Magidson, Chair and CEO of the ASC.” The proposed new self-certified investor prospectus exemption would allow investment by investors who certify to having certain financial and investing experience and education, and acknowledge certain investment considerations and risks. To reduce the risks to investors, investments would be limited in a 12-month period to $10,000 in any one business and $30,000 across multiple businesses. See:  ASC Updates Raising Capital for Small Businesses Resource: Fostering Alberta’s New Economy ASC adopts Start-up Crowdfunding ...
Read More
female investor - Is Apple Pay Safe?
The Verge | Dieter Bohn | Nov 18, 2020 It (Google Pay) will include tap-to-pay, peer-to-peer, personal finance aggregation, customizable deals, and even full banking services Today, Google Pay for both Android and iOS is relaunching with a giant array of new features. It turns the app from something that most people think of as a tap-to-pay card repository or peer-to-peer payment system into a much more ambitious service. The new app begins rolling out across the United States today. The new version of the app will have three new tabs: “Pay,” which includes peer-to-peer payments as well as your transaction history using tap-to-pay; “Explore,” which will be a place where Google will offer deals and discounts; and finally, “Insights,” which will allow you to connect your bank accounts to get a searchable overview of your finances. You will even be given the option to allow Google Pay to crawl your Gmail inbox and your Google Photos account to look for receipts. Google will use OCR technology to auto-scan them and integrate them into your finance tracking. In 2021, Google will partner with some banks to directly offer fully online checking and savings accounts inside Google Pay — a service ...
Read More
GooglePay - Is Apple Pay Safe?
Fortune via Bloomberg | Nov 18, 2020 The U.S. Securities and Exchange Commission is pushing ahead with a plan that threatens to kick Chinese companies off U.S. stock exchanges, setting up a late clash between Washington and Beijing as the Trump administration winds down. By the end of this year, the SEC intends to propose a regulation that would lead to the delisting of companies for not complying with U.S. auditing rules, according to people familiar with the matter. Agency officials have been moving quickly on a rule since August, when the President’s Working Group on Financial Markets -- a regulatory council whose members include SEC Chairman Jay Clayton and Treasury Secretary Steven Mnuchin -- urged the regulator to pass new restrictions that could take effect as soon as 2022, said the people who asked not to be named in discussing private deliberations. See:  Magic Johnson Selling Gels Shows Why Alibaba Escaped Trump At issue is a problem that has vexed U.S. regulators for more than a decade: China’s refusal to let inspectors from the Public Company Accounting Oversight Board review audits of Alibaba Group Holding Ltd., Baidu Inc. and other firms that trade on American markets. The issue has ...
Read More
Potential Delisting of Chinese companies on US exchanges - Is Apple Pay Safe?
Financial Literacy Committee You're invited - Event Details Thursday, November 26, 2020 1:00 PM EST Register for this event --> here As we mark the 10th anniversary of Financial Literacy Month, the Financial Consumer Agency of Canada (FCAC) is pleased to invite you to a dynamic event organized specifically for financial literacy stakeholders. This 90-minute session will focus on innovative, research-based approaches to financial literacy and feature guest speakers who will share expert insights and perspectives, followed by a panel discussion. Moderator:  Supriya Syal, Deputy Commissioner, Research, Policy and Education, FCAC Panelists: Rebecca Balcerzak, Senior Project Officer, Families Canada Ruth Stephen, Director, Strategic Policy, Research & Experimentation, FCAC Rim Charkani, CEO, WALO                                       Dilip Soman, Director, Behavioural Economics in Action Research Centre Rotman School of Management The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, ...
Read More
Financial literacy event - Is Apple Pay Safe?
Luge Capital | Gisele Karekezi | Nov 18, 2020 Luge Capital just released our Status of the Canadian InsurTech Landscape report today. It is an in-depth analysis of InsurTech technology trends, startup activities, venture funding as well as Luge’s perspective on future innovation and investment opportunities in the Canadian insurance industry. You can check out the report HERE. We are also hosting a webinar event to dig deeper into InsurTech investment trends and future opportunities with speakers from Liberty Mutual Strategic Ventures, Anthemis Group, Manulife Capital Ventures and Eos Venture Partners on December 1st, 4pm ET. We would love to have you join us. Register The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become ...
Read More
BookMockUp Luge 1200x628 002 - Is Apple Pay Safe?
McKinsey & Company | Jason Li and Joydeep Sengupta | Nov 17, 2020 Expect digital to further blur industry lines, supercharge scalability, and loosen geographical restraints for professional services, says Jessica Tan. Ping An is the archetypal example of how today’s Asian powerhouses succeed by creating, participating in, and exploiting digital ecosystems. Founded in 1988 as an insurance company in the then-rapidly developing city of Shenzhen, Ping An has since grown to become China’s largest non-State-owned conglomerate by revenue (1.169 trillion RMB [$174 billion] in 2019), with portfolio companies spanning automobile services, financial services, healthcare, and smart city solutions. Early investments in digital technologies such as artificial intelligence (AI), blockchain, and cloud infrastructure help Ping An serve more than 214 million retail customers and nearly 579 million internet users across China. As chief information officer from 2013 to 2019, Jessica Tan was a key architect of Ping An’s digital-ecosystem-based business model. In an interview with McKinsey’s Jason Li and Joydeep Sengupta, Tan shared her thoughts on how the digital transformation will affect professional services, the synergies that big and small companies can share in digital ecosystems, and the ways in which she’s reimagining Ping An’s organizational structure and leadership selection ...
Read More
Ping An interview with Jessica Tan - Is Apple Pay Safe?
Guest Post | Amanda Dudley | Nov 17, 2020 Nowadays, the way we work is being redefined. The days when companies had a physical space where employees showed up every day are giving way to modern approaches to work. Since COVID-19 came into the picture, many professionals now work from home. Globally distributed teams are becoming the order of the day. Whether it is in the essay writing service industry or the design world, remote work is now the way to go. The fact that many content creation companies are adopting remote working conditions shows that there are several benefits to this approach. But every good change comes with a few worries. One of the most prominent issues in this regard has to do with getting a team of individuals that have never met one another to work cohesively. The good news is that this article shares a few tricks to help content managers and team leaders better manage a remote team of content writers. Content managers are advised to try out the techniques discussed in this article and use the ones that work for them. Should Employers Consider a Remote Team of Content Writers? Before discussing how to keep ...
Read More
Happy creator - Is Apple Pay Safe?