However, ever since the release of the first iPhone model, Apple's ultimate goal is for its consumers to be able to leave the house with one object in hand. Whether it be a phone or a watch (or kinda both), Apple strives to be our be all end all. They introduced Apple Wallet, a handy app providing a place to safely store your cards, coupons, etc. The keyword here is "safe," and people soon began to see why. Apple claims that Apple Pay is a safer alternative to paying by card.
The way Apple pay works is this: you enter your credit card information into your Apple Wallet, and press the home button twice when near a payment scanner. Holding the home button to affirm your identity via fingerprint, the payment is approved. It feels like the future. The hidden advancements, however, are even more impressive. When you enter your info into your phone, neither your phone nor Apple receives any of your financial information. Instead, each time you use Apple Pay, your credit card company sends a phony number to your phone, which transfers that phony number to the card reader. Only the last 4 digits of this phony number match your actual credit card number, and there is no way to decipher your real number due to the fact that the phony is randomly generated.
The old method, swiping via magnetic strip, gives the retailer enough information where a hacker can access a scarily large amount of financial information. While the recently implemented method of small chips rather than magnetic strips is being adopted by all major credit card companies, Apple Pay is a fool-proof safe option.
References:
http://bgr.com/2014/10/23/is-apple-pay-safer-than-credit-cards/
Image:
http://www.digitaltrends.com/mobile/iphone-6-nfc-for-apple-pay-only/






