The Apple Store describes what Apple Pay is and how it is secure and easy it is to use:
“Paying in stores or within apps has never been easier. Gone are the days of searching for your wallet. The wasted moments finding the right card. Now payments happen with a single touch. Apple Pay will change how you pay with breakthrough contactless payment technology and unique security features built right into the devices you have with you every day. So you can use your iPhone to pay in a simple, secure, and private way.
One touch to pay with Touch ID. Now paying in stores happens in one natural motion — there’s no need to open an app or even wake your display thanks to the innovative Near Field Communication antenna in iPhone 6. To pay, just hold your iPhone near the contactless reader with your finger on Touch ID. You don’t even have to look at the screen to know your payment information was successfully sent. A subtle vibration and beep let you know.
Convenient checkout. On iPhone, you can also use Apple Pay to pay with a single touch within apps. Checking out is as easy as selecting Apple Pay and placing your finger on Touch ID.
Setup is simple. Passbook already stores your boarding passes, tickets, coupons, and more. Now it can store your credit and debit cards, too. To get started, you can add the credit or debit card from your iTunes account to Passbook by simply entering the card security code.
To add a new card on iPhone, use your iSight camera to enter your card information. Or simply type it in manually. The first card you add automatically becomes your default payment card, but you can go to Passbook anytime to pay with a different card or select a new default in Settings.
More secure payments.
Every time you hand over your credit or debit card to pay, your card number and identity are visible. With Apple Pay, instead of using your actual credit and debit card numbers when you add your card to Passbook, a unique Device Account Number is assigned, encrypted, and securely stored in the Secure Element, a dedicated chip in iPhone. These numbers are never stored on Apple servers. And when you make a purchase, the Device Account Number, along with a transaction-specific dynamic security code, is used to process your payment. So your actual credit or debit card numbers are never shared by Apple with merchants or transmitted with payment.
Protect your accounts. Even if you lose your device. If your iPhone is ever lost or stolen, you can use Find My iPhone to quickly put your device in Lost Mode to suspend Apple Pay, or you can wipe your iPhone clean completely.
Keep your purchases private.
Apple doesn’t save your transaction information. With Apple Pay, your payments are private. Apple Pay doesn’t store the details of your transactions so they can’t be tied back to you. Your most recent purchases are kept in Passbook for your convenience, but that’s as far as it goes.
Keep your cards in your wallet. Since you never have to show your credit or debit card, you never reveal your name, card number, or security code to the cashier when you pay in a store. This additional layer of privacy helps ensure that your information stays where it belongs. With you.”
In a statement to Business Insider, an Apple spokesperson responded to the brewing battle:
“The feedback we are getting from customers and retailers about Apple Pay is overwhelmingly positive and enthusiastic. We are working to get as many merchants as possible to support this convenient, secure and private payment option for consumers. Many retailers have already seen the benefits and are delighting their customers at over 220,000 locations.”
Read more: http://www.businessinsider.com/
The fact that Apple already has competition out the door is a great indication that Apple Pay is a success. Compared to CurrentC, Apple Pay is far more secure because it does not use QR codes. CurrentC uses scanned QR codes at registers to make payments. QR codes are not secure at all because they can be copied to another device pretty easily. Apple Pay uses a fingerprint and is much more difficult to copy.
In addition, CurrentC can track purchase history and spending habits, which can offer advantages and disadvantages. CurrentC can become familiar with how you spend your money but this information can be used for malicious activities, which is why it is important that Apple Pay cannot track this information. Lastly, CurrentC can only be used with checking accounts in only a few locations while Apple Pay can be used like a credit card in many locations.