Apple Pay Liability

Discussion in 'Apple Music, Apple Pay, iCloud, Apple Services' started by nightcap965, Dec 22, 2015.

  1. nightcap965 macrumors 6502a

    nightcap965

    Joined:
    Feb 11, 2004
    Location:
    Cape Cod
    #1
    I'm trying to understand the incoherent policies of a local supermarket (a member of the Albertson's LLC megacorp) regarding Apple Pay. Like many American merchants, they're tardy about accepting EMV "chip-and sign" cards. The hardware is in place, but they haven't got the software ready yet. This means that, since October 2015, they are liable for credit card fraud perpetrated at their registers.

    However, so far as I can tell, they are not liable for Apple Pay transactions. According to the VP of my card issuer's bank: “The bank has liability for any purchases made when Apple Pay is offered and used as the form of payment. This is true for both face-to-face and for “in-app” purchases.”

    Has something changed that I'm unaware of? Can merchants possibly be on the hook for Apple Pay fraud?
     
  2. tmiw macrumors 68000

    Joined:
    Jun 26, 2007
    Location:
    San Diego, CA
    #2
    Last I heard merchants could be held liable for in-app Apple Pay purchases due to them being considered "card not present" (the same as any other online purchase). Perhaps that changed?
     
  3. nightcap965 thread starter macrumors 6502a

    nightcap965

    Joined:
    Feb 11, 2004
    Location:
    Cape Cod
    #3
  4. tmiw macrumors 68000

    Joined:
    Jun 26, 2007
    Location:
    San Diego, CA
    #4
    From the Apple link you provided:

     
  5. nightcap965 thread starter macrumors 6502a

    nightcap965

    Joined:
    Feb 11, 2004
    Location:
    Cape Cod
    #5
    Um, we're talking about an in-store experience here. It's a card present transaction. So my question is still, has anything changed to make the store liable for Apple Pay fraud?
     
  6. tmiw macrumors 68000

    Joined:
    Jun 26, 2007
    Location:
    San Diego, CA
    #6
    No. I'm not sure why that VP is saying there's no liability for in-app purchases though.
     
  7. nightcap965 thread starter macrumors 6502a

    nightcap965

    Joined:
    Feb 11, 2004
    Location:
    Cape Cod
    #7
    Don't know, but the VP in question works for USAA Federal.
     

Share This Page