Published: Fri, December 08, 2017
IT | By Lester Massey

Send Friends Money with Apple Pay Cash

The latest feature to hit iOS is Apple Pay Cash, which gives iPhone users a quick and easy way to send money to one another (as well as a way to spend money at stores without using a credit or debit card).

Still, many banks don't feel comfortable with Apple's approach, underscored by last year's standoff between the technology company and four of Australia's largest banks, who complained to regulators that Apple's refusal to grant them access to Apple's NFC chip restricted their ability to support mobile payments.

Though retail purchases are possible with Apple Pay Cash, the service's primary function is an easy way to transfer money between friends through iMessage.

Since iOS 8.1, Apple Wallet has let you pay participating stores and websites from your iPhone, touch-free, using a credit card that you connect with the service.

To get started, open up the Settings app, scroll down, and tap on "Wallet & Apple Pay". Finally, for debit or prepaid credit card to Apple Pay Cash transfers, there is a $10 minimum and a $3,000 maximum per transfer, with a $10,000 weekly limit.

The new system is available now through the iOS 11.2 update. You can force the update by visiting Settings General Software Update. Discover claims more than 90% coverage in the US, and most merchants that accept Apple Pay also accept Discover.

You'll also have to agree to Apple's terms and conditions.

. With iOS 11.2 and watchOS 4.2, the Apple Pay Cash app for iMessage enables money person-to-person money transfers from within a text message conversation.

With Apple Pay, it seemed like a sure thing.

You can also use your Apple Pay Cash balance to pay for goods or services anywhere that Apple Pay is accepted. Androids and other non-Apple devices are not supported.

Two-factor authentication must be enabled for your Apple ID account. Note that setup also requires re-entering your credit card digits.

"Through the business model Apple has built, banks have paid the freight for building Apple Pay, and with now Apple is powering merchant transactions through a pathway that essentially cuts banks out of the equation when Apple Pay Cash is used to pay merchants directly", said Richard Crone, a principal with Crone Consulting. The feature allows users in the United States with an up-to-date iPhone to send money to other iPhone users through the Messages app. Just tap the A icon to open it.

If all of those describe you, then read on.

If the recipient doesn't have an iOS device or doesn't meet the above requirements, you'll get a message that says they can not receive payments using Apple Pay. However, you can send payments using the service via an iPhone, iPad, or an Apple Watch. The process is identical for adding any other credit card to Apple Pay.

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