Apple Pay for Returns

[jbenkelman]

I work in retail, and when we accept a return from a customer, we have to identify the last 4 digits of the credit card in order for the return to process.

While I understand that its situational (places like Target don't even need to see your card, as its already on file), I do wonder what the security (as in higher level of security) flaws will be with having a retailer never see your name/card information.

Will be interesting to see how quickly retailers will jump on the Apple Pay bandwagon, and how much will need to be done to adjust their POS systems.

Anyone have some insight?

 

[dave420]

I would think using Apple Pay would be the equivalent of having the whole card number again. If you want to do a return I would think you could just use Apple Pay again and the retailer would process it as a refund instead of a charge.

A similar situation though is places like Best Buy will let you look up your order history and print old receipts by scanning your credit card. I bet services like that will not be possible with Apple Pay. Of course Best Buy isn't planning on using Apple Pay anyway.

 

[jbenkelman]

I would think using Apple Pay would be the equivalent of having the whole card number again. If you want to do a return I would think you could just use Apple Pay again and the retailer would process it as a refund instead of a charge.

A similar situation though is places like Best Buy will let you look up your order history and print old receipts by scanning your credit card. I bet services like that will not be possible with Apple Pay. Of course Best Buy isn't planning on using Apple Pay anyway.

That would make sense. The only way you would be able to process the return would be with a second apple pay transaction. I wonder if apple still gets to keep the profits from 2 transactions then. They are looking pretty if this all goes as planned. I can't see many business opting out of it. Just like no one thought Apple would be come the smartphone for business (remember that company...what was there name...oh...Blackberry). I think this will become the norm for payment if done right.

I realize Google tried, but they don't have the wide influence that Apple has gained in the business word. They say jump, and these retailers say, how high and how many times.

 

[CasuallyDressed]

I wonder what issue would arise with refunding onto different cards then. Say, you buy something on your credit card but then return it onto your debit card. I used to work in retail too and with physical cards this was avoidable as I used to have to look at said card to confirm digits before processing the refund. We weren't allowed to refund onto a different card, even if it was definitely the customers, because of some kind of fraud. Essentially avoiding freely transferring money from a credit card to a current account.

You can save multiple cards onto your phone, right? Then just select which one you want to use?

 

[Menel]

Last time I returned something to HomeDepot, they didn't need my card, or the last 4 digits from it.

They just put it back on whatever was in the system associated with the receipt.

 

[jbenkelman]

Last time I returned something to HomeDepot, they didn't need my card, or the last 4 digits from it.

They just put it back on whatever was in the system associated with the receipt.

That's the kind of thing that I am wondering about. The Keynote said that the retailer would not see anything regarding your cards info, and that the security code would be different with every transaction. Seems to be almost too secure to be doing returns and refunds.

Guess this is just something were going to have to wait out. Is it October yet?

Anyone switching banks to have a card that participates? or just waiting it out?

 

[lordofthereef]

FWIW Target always still asks me for my card.

I know that Apple is getting 0.15% of each transaction. That would mean that every transaction goes through them, then goes through whatever credit card you actually selected. I don't see how reversing this would be all that difficult. It would be an anonymous reversal, but I don't see why that's problematic.

 

[justinwebb]

I work for a big US bank and we have been testing it for quite some time, returns will work just like normal.

 

[jbenkelman]

I work for a big US bank and we have been testing it for quite some time, returns will work just like normal.

You are exactly the person I was hoping would answer then! Thanks for the insight.

Probably can't say what bank, but do you know if other banks will be added quickly, or just the roll out banks for the time being? I want to see my bank get on board or I am going to switch. Not that difficult to open a new account and move banks, so they best get on it!

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FWIW Target always still asks me for my card.

I know that Apple is getting 0.15% of each transaction. That would mean that every transaction goes through them, then goes through whatever credit card you actually selected. I don't see how reversing this would be all that difficult. It would be an anonymous reversal, but I don't see why that's problematic.

Just the simple fact that the computer system I work with only allows returns if it can verify the last 4 digits of the card exactly. If it doesn't match it wont do the return. Therefore, if my system doesn't know your card number, it wouldn't know how to do the return.

 

[famoussasjohn]

You are exactly the person I was hoping would answer then! Thanks for the insight.

Probably can't say what bank, but do you know if other banks will be added quickly, or just the roll out banks for the time being? I want to see my bank get on board or I am going to switch. Not that difficult to open a new account and move banks, so they best get on it!

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Just the simple fact that the computer system I work with only allows returns if it can verify the last 4 digits of the card exactly. If it doesn't match it wont do the return. Therefore, if my system doesn't know your card number, it wouldn't know how to do the return.

Might be something that your POS will need to be updated for. If it reads the details from the transaction, I'm sure it will process the refund to the source it came from. I'd ask a supervisor for info to see what their process was for it since it will be launching soon and if you're company is accepting the payment process, they'll have details on it.

I did find this - https://developer.apple.com/apple-pay/Getting-Started-with-Apple-Pay.pdf and does say refunds are supported.

 

[Menel]

That's the kind of thing that I am wondering about. The Keynote said that the retailer would not see anything regarding your cards info, and that the security code would be different with every transaction. Seems to be almost too secure to be doing returns and refunds.

Guess this is just something were going to have to wait out. Is it October yet?

Anyone switching banks to have a card that participates? or just waiting it out?

All my cards supporting already.
Chase debit, capitalone visa, corp amex.

 

[justinwebb]

we have known about it for quite some time and have been building it up since, we have had the phones themselves in as of a few weeks ago for testing