As the tech giant announced on Monday starting with next month Apple Pay will be available in the UK. The announcement was made at the annual Worldwide Developers Conference which took place in San Francisco. Major banks in the UK and many retailers have announced that they will make this system available.
People who have an iPhone 6 or an Apple watch can pay simply by touching the devices on contactless pads. Payments using the Apple Pay system will not exceed the sum of £20, just like in the case of other contactless pads. In September the limit will rise to £30. However agreements with some retailers may enable higher payments.
Some of the banks which have agreed to start using this system starting with July include HSBC, First Direct, Santander, Ulster Bank, Royal Bank of Scotland and NatWest. Later in autumn other banks will join the group such as TSB Bank, Bank of Scotland, Halifax, Coutts, M&S Bank, Lloyds Bank and MBNA.
An important bank which will not adopt the Apple Pay system is Barclays. The bank has already invested a lot in its Pingit money transfer system which could be ruined by the Apple Play system release. Many Barclays customers have already announced on Twitter that they intent to move banks.
As far as retailers are concerned Apple Pay will be available in 250.000 shops including the following popular chains: McDonald’s, Subway, KFC, Lidl, Post Office, M&S, Liberty, Costa, BP, Boots, Waitrose, Pret, BP, Spar, Wagamama, New Look, Nando’s, JD Sports and Dune.
Even London Underground will enable American visitors which are registered with Apple to use their smartphones to pay for their tube journeys.
Tesco said that they have no intention of officially adopting this technology. However the Apple Pay system will work in some of the company’s stores which already have the contactless payment facility. Other companies which for now do not intend to provide the Apple Pay system are Sainsbury’s and Asda.
When a user adds a debit or credit card to be used with Apple Pay a unique Device Account Number is created on the device. The number is encrypted and safely stored in the Secure Element. A unique security code will authorize each transaction and details about the card are not kept on Apple’s servers or on the device.
The rival companies, Samsung and Android, also intend to release similar payment systems. But for now none has reached UK yet.
Image Source: Security Affairs