Apple working on tech to allow iPhones to directly process credit cards

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Comments

  • Reply 21 of 28
    chadbagchadbag Posts: 2,000member
    First of all this sounds illegal and Apple should learn a bit about financial regulations on processing cards. They cannot be issuer and processor at the same time. I have spent several months in one of two biggest US credit card processor companies and learned a bit about that. I suggest legal department at Apple studies PCI regulations before it gets hit with federal lawsuit for violating industry compliance standards.
    I would suggest that Apple is not dumb and whatever they do will be within regulations.   This is a rumor without details at the moment so any speculation on how it works is just that, speculation.  
    williamlondonStrangeDays
  • Reply 22 of 28
    chadbagchadbag Posts: 2,000member
    jimh2 said:
    crowley said:
    Interesting.  Presumably there would be fees, but there would be reductions/bonuses on one or both sides if a customer uses Apple Pay, Apple Pay Cash or Apple Card to pay a vender using the Apple [insert branding here].

    Does the iPad have the NFC capability?  I see lots of stores using the iPad as the cashier terminal; if it could also deliver the payment processing in a single unit then.  The cellular connection of the iPhone isn't needed is it?  Could also be a case for an updated iPod touch.
    There will be fees as that is how credit cards work. The recipient always pays. I doubt individuals will be able to accept CC’s. There is far too much paperwork required due to money laundering and fraud concerns. I’d expect to pay at least 2.75% skim which is around what Square, PayPal and others charge. A lot of people do not realize that card perks come out of the merchants pockets. CC companies are not giving anything away. 
    A lot of people people do not realize that credit card fees come out of the customers pockets. Even when you’re paying cash, as most merchants mark up EVERYTHING to offset those fees.
    Yes and no.  Credit cards have become so ubiquitous as payment facilitators that companies price the costs of accepting cards into their cost of doing  business and set their pricing on products accordingly.  Almost nobody gives a discount for cash anymore. 
    williamlondon
  • Reply 23 of 28
    GeorgeBMacGeorgeBMac Posts: 11,421member
    chadbag said:
    jimh2 said:
    crowley said:
    Interesting.  Presumably there would be fees, but there would be reductions/bonuses on one or both sides if a customer uses Apple Pay, Apple Pay Cash or Apple Card to pay a vender using the Apple [insert branding here].

    Does the iPad have the NFC capability?  I see lots of stores using the iPad as the cashier terminal; if it could also deliver the payment processing in a single unit then.  The cellular connection of the iPhone isn't needed is it?  Could also be a case for an updated iPod touch.
    There will be fees as that is how credit cards work. The recipient always pays. I doubt individuals will be able to accept CC’s. There is far too much paperwork required due to money laundering and fraud concerns. I’d expect to pay at least 2.75% skim which is around what Square, PayPal and others charge. A lot of people do not realize that card perks come out of the merchants pockets. CC companies are not giving anything away. 
    A lot of people people do not realize that credit card fees come out of the customers pockets. Even when you’re paying cash, as most merchants mark up EVERYTHING to offset those fees.
    Yes and no.  Credit cards have become so ubiquitous as payment facilitators that companies price the costs of accepting cards into their cost of doing  business and set their pricing on products accordingly.  Almost nobody gives a discount for cash anymore. 

    Yes, that's pretty much what he said.
    But the cards (or their digital equivalents) provide advantages over cash:  One of them is that it reduces crime:  there are some stores who will no longer accept cash because of fear of being robbed (no cash = nothing to rob).   In addition, eliminating cash takes away a key tool of tax cheats and other criminals to conduct their illicit business.

    For myself, I just enjoy not having to carry it around and deal with it.  I keep a couple twenties on me for emergency but I haven't spent a dime in cash since the summer.  I use ApplePay for about 90% of what I buy and keep a card handy for the other 10%. 

    Another advantage for me, besides convenience, is that it helps me to track spending through Quicken by recording the receipts and later reconciling the account by downloading the charges and having Quicken match them automatically.

    Basically, I stopped using cash many years ago.
    StrangeDays
  • Reply 24 of 28
    StrangeDaysStrangeDays Posts: 12,879member
    Apple should just buy square, gather their knowledge from their partner SAP, and solve small businesses lives. 

    They have the power to do it!

    Because let me tell you, POS software is BAD. 
    POST software is bad, yes. And I’m sure Apple could do it better. But it seems to violate their 1000 No’s to Every Yes principle…small business solutions is not their core business. 
  • Reply 25 of 28
    StrangeDaysStrangeDays Posts: 12,879member
    jimh2 said:
    crowley said:
    Interesting.  Presumably there would be fees, but there would be reductions/bonuses on one or both sides if a customer uses Apple Pay, Apple Pay Cash or Apple Card to pay a vender using the Apple [insert branding here].

    Does the iPad have the NFC capability?  I see lots of stores using the iPad as the cashier terminal; if it could also deliver the payment processing in a single unit then.  The cellular connection of the iPhone isn't needed is it?  Could also be a case for an updated iPod touch.
    There will be fees as that is how credit cards work. The recipient always pays. I doubt individuals will be able to accept CC’s. There is far too much paperwork required due to money laundering and fraud concerns. I’d expect to pay at least 2.75% skim which is around what Square, PayPal and others charge. A lot of people do not realize that card perks come out of the merchants pockets. CC companies are not giving anything away. 
    A lot of people people do not realize that credit card fees come out of the customers pockets. Even when you’re paying cash, as most merchants mark up EVERYTHING to offset those fees.
    That’s rather silly - you could say the exact same thing about electricity costs, water costs, rent, etc… Overhead is overhead and part of doing business. Electronic payments are part of the cost of business, and until the apocalypse hits won’t be going away. 
    edited January 2022 williamlondon
  • Reply 26 of 28
    GeorgeBMacGeorgeBMac Posts: 11,421member
    jimh2 said:
    crowley said:
    Interesting.  Presumably there would be fees, but there would be reductions/bonuses on one or both sides if a customer uses Apple Pay, Apple Pay Cash or Apple Card to pay a vender using the Apple [insert branding here].

    Does the iPad have the NFC capability?  I see lots of stores using the iPad as the cashier terminal; if it could also deliver the payment processing in a single unit then.  The cellular connection of the iPhone isn't needed is it?  Could also be a case for an updated iPod touch.
    There will be fees as that is how credit cards work. The recipient always pays. I doubt individuals will be able to accept CC’s. There is far too much paperwork required due to money laundering and fraud concerns. I’d expect to pay at least 2.75% skim which is around what Square, PayPal and others charge. A lot of people do not realize that card perks come out of the merchants pockets. CC companies are not giving anything away. 
    A lot of people people do not realize that credit card fees come out of the customers pockets. Even when you’re paying cash, as most merchants mark up EVERYTHING to offset those fees.
    That’s rather silly - you could say the exact same thing about electricity costs, water costs, rent, etc… Overhead is overhead and part of doing business. Electronic payments are part of the cost of business, and until the apocalypse hits won’t be going away. 

    Agreed.
    Cards have become the new normal -- as they should be. 

    But, we still have a (mostly low-income) population who are denied access to those cards -- who are paying the fee every time they shell out cash to buy something.  And that population is the one who can least afford the fees.  We need to address that -- and that might be taking control from the banksters to create a CBDC (which, admittedly could create its own problems).


  • Reply 27 of 28
    mike1mike1 Posts: 3,286member
    First of all this sounds illegal and Apple should learn a bit about financial regulations on processing cards. They cannot be issuer and processor at the same time. I have spent several months in one of two biggest US credit card processor companies and learned a bit about that. I suggest legal department at Apple studies PCI regulations before it gets hit with federal lawsuit for violating industry compliance standards.

    Whew. Dodged a bullet there. Glad you brought it to Apple's attention.

    williamlondon
  • Reply 28 of 28
    mike1 said:
    First of all this sounds illegal and Apple should learn a bit about financial regulations on processing cards. They cannot be issuer and processor at the same time. I have spent several months in one of two biggest US credit card processor companies and learned a bit about that. I suggest legal department at Apple studies PCI regulations before it gets hit with federal lawsuit for violating industry compliance standards.

    Whew. Dodged a bullet there. Glad you brought it to Apple's attention.

    Serious gawd complex that dude has, thinking himself more astute than Apple at product and service development. [rolls eyes] What a maroon!
    edited February 2022
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