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JCPenney Has Reinstated Apple Pay in All Retail Locations

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JCPenney, a popular department store in the United States, this month said that it has reactivated contactless payments options including Apple Pay in all of its retail stores.

The information was shared by a JCPenney support employee on Twitter, who also said that Apple Pay would be accepted in stores starting June 19th. Given that it's now June 27, Apple Pay should be working in JCPenney retail locations once again.


JCPenney earlier this year eliminated support for Apple Pay and other contactless payment options due to an April 13 deadline from Visa for retiring legacy magnetic stripe contactless technology in favor of EMV technology.
A third-party credit card brand made the requirement for all merchants to actively support EMV contactless functionality effective April 13, retiring the legacy MSD contactless technology in place. Given the resources and lead time associated with meeting the new mandate, JCPenney chose to suspend all contactless payment options until a later date. Customers still have the ability to complete their transactions manually by inserting or swiping their physical credit cards at our point-of-sale terminals in stores, an option employed by the vast majority of JCPenney shoppers.
At the time Apple Pay was pulled from retail stores and the JCPenney app, JCPenney did not provide details on if and when it might be reinstated.

JCP is happy to share that we are working to reactivate contactless payment options and therefore mobile wallet transactions will be accepted in all of our stores by June 19th. - Ask JCPenney (@askjcp) June 14, 2019

Prior to the end of Apple Pay support, JCPenney had offered the payment option since 2015, when it first rolled out to JCPenney stores.

Article Link: JCPenney Has Reinstated Apple Pay in All Retail Locations
 

4jasontv

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A third-party credit card brand made the requirement for all merchants to actively support EMV contactless functionality effective April 13, retiring the legacy MSD contactless technology in place. Given the resources and lead time associated with meeting the new mandate, JCPenney chose to suspend all contactless payment options until a later date.

I don't understand this. They had to support contactless payments and so the suspended the places that already accepted it? That still doesn't really explain why they pulled it from their App.
 
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centauratlas

macrumors 65816
Jan 29, 2003
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"Popular"???

Perhaps in the 1970s and 1980s.

It is good they are adding it back in, not that I can recall the last time I was inside a JCP store.

We were in Europe for a few weeks back in May and pretty much everywhere supported Apple Pay, with only two exceptions: someplace in Spain and one place said that you were limited to 30 GBP using Apple Pay which was crazy.
 
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konqerror

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Dec 31, 2013
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I don't understand this. They had to support contactless payments and so the suspended the places that already accepted it? That still doesn't really explain why they pulled it from their App.

Both contactless and app-based Apple Pay operates in two modes. One is EMV, which is a slight extension on regular chip. The second legacy method is MSD, where it basically sends magnetic stripe data, except with a dynamic CVV1 value.

MSD is more secure than a static magstripe but less secure than EMV. Basically you can clone everything except the 3 digit number. MSD was designed so you could basically stuff it in existing magstripe systems.

Visa banned the MSD mode of operation in April this year. One of the reasons they said was most foreign banks don't support MSD, so it would fail. The other reason they said was that many merchants screwed up MSD data, which I've observed where some cards work and some cards don't at the same place.

JC Penney apparently hadn't migrated in time, so they chose to disable the whole contactless system until they updated. Otherwise, they could only accept non-Visa cards through Apple Pay.

This is one of the problems with EMV, there's multiple certifications and testing you need every time you change something. There were major backlogs around the time of the liability shift in 2015.
 
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4jasontv

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Jul 31, 2011
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Both contactless and app-based Apple Pay operates in two modes. One is EMV, which is a slight extension on regular chip. The second legacy method is MSD, where it basically sends magnetic stripe data, except with a dynamic CVV1 value.

MSD is more secure than a static magstripe but less secure than EMV. Basically you can clone everything except the 3 digit number. MSD was designed so you could basically stuff it in existing magstripe systems.

Visa banned the MSD mode of operation in April this year, and JC Penney hadn't migrated in time, so they chose to disable the whole contactless system until they got. Otherwise, they could only accept non-Visa cards through Apple Pay.

This is one of the problems with EMV, there's multiple certifications and testing you need every time you change something. There were major backlogs around the time of the liability shift in 2015.

It sounds like you are saying it still worked with the exception of Visa. So why would they disable it for all cards without having a replacement ready? From a customer perspective running non-visa cards as contactless but not visa would only serve to make Visa look like bad. JCP would look modern because they have contactless available, and they would still be able to accept visa via other means so it wouldn't cost them visa only customers.
 
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tmiw

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Jun 26, 2007
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Both contactless and app-based Apple Pay operates in two modes. One is EMV, which is a slight extension on regular chip. The second legacy method is MSD, where it basically sends magnetic stripe data, except with a dynamic CVV1 value.

MSD is more secure than a static magstripe but less secure than EMV. Basically you can clone everything except the 3 digit number. MSD was designed so you could basically stuff it in existing magstripe systems.

Visa banned the MSD mode of operation in April this year. One of the reasons they said was most foreign banks don't support MSD, so it would fail. The other reason they said was that many merchants screwed up MSD data, which I've observed where some cards work and some cards don't at the same place.

JC Penney apparently hadn't migrated in time, so they chose to disable the whole contactless system until they got. Otherwise, they could only accept non-Visa cards through Apple Pay.

This is one of the problems with EMV, there's multiple certifications and testing you need every time you change something. There were major backlogs around the time of the liability shift in 2015.

I can't help but think certification is still an issue. Coffee Bean, for instance, still doesn't use the chip. Not to mention that just today there was something out that indicated that most gas stations can't even consider rolling it out outside until the end of this year.

Really, EMV and contactless should have been made mandatory (either by law or the card networks no longer allowing transactions from terminals that can't do the chip). While I'm sure a fair number of stores would just stop taking cards entirely if that happened, we'd at least be able to use AP everywhere else.
 
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ryanwarsaw

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Wow this is bigger news than Jony Ive leaving Apple. Okay now that story is up.
 
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JBGoode

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Jun 16, 2018
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Who still visit JCPenney? Closing 3..2..1..

Not only did I visit one but I actually made a purchase last week. :) I've been looking for sneakers in my odd wide size and they had some. Plus they had a sale for buy one pair get one for 50% off so I killed it on some good shoes. First time I've stepped foot in that store in over a decade.

No Apple Pay that day though.
 
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konqerror

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Dec 31, 2013
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It sounds like you are saying it still worked with the exception of Visa. So why would they disable it for all cards without having a replacement ready? From a customer perspective running non-visa cards as contactless but not visa would only serve to make Visa look like bad. JCP would look modern because they have contactless available, and they would still be able to accept visa via other means so it wouldn't cost them visa only customers.

Visa has a ~55% credit market share and an astounding 75% market share of debit in the US. Basically you're going to have around 2/3 of your customers try the feature and you flash an error, and make them retry differently. Especially Visa and Mastercard, if you put a sign that Visa is broken, nobody in the US would read it: given that both are accepted.

If you remove it completely, then nobody tries and nobody gets an error.

Not to mention that just today there was something out that indicated that most gas stations can't even consider rolling it out outside until the end of this year.

Gas stations are a special case. Their liability shift was pushed back because they have to deal with design and certification for the equipment in pumps due to explosion risk. On top of that, the issue was that EMV was too data intensive to run over existing pump to store wiring, so it required a whole cabling rip and replace, again with expensive safety requirements.

Other food merchants have low risk of fraud. You can't resell coffee on the street, so to them EMV is a cost without a return. Grocery stores were the same way with the single exception of gift cards. It's Apple Stores and Best Buys that get the benefits of EMV, not most merchants.
 
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4jasontv

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Visa has a ~55% credit market share and an astounding 75% market share of debit in the US. Basically you're going to have around 2/3 of your customers try the feature and you flash an error, and make them retry differently. Especially Visa and Mastercard, if you put a sign that Visa is broken, nobody in the US would read it: given that both are accepted.

If you remove it completely, then nobody tries and nobody gets an error.

I don't know about that. I always try it first, so do a lot of people I know because it's so much faster. Best case is it goes through and worst case is it doesn't and someone with the ability to add it sees me struggle to use it.

Again, if they can use other cards with it than people not being able to use tap to pay with visa looks bad for visa and not JCP. I've been in one there stores, and I feel confident saying that "an expedited checkout" isn't one of their core beliefs. So an extra attempt at payment really only hurts Visa.

This is just me personally, but I blame the merchant if they don't take a card or a form of payment and I blame the creditor if the transaction fails.

Also, none of this explains removing it from the app.
 
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konqerror

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Also, none of this explains removing it from the app.

The app flow is even worse. Have you ever used Apple Pay in an app? You enter all your shipping and billing info and select shipping options on the Apple Pay sheet, to get denied and then you have to go back into their proprietary flow and enter the same billing and shipping addresses again. 2/3s of your customers will have to deal with this double entry.
 
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4jasontv

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Jul 31, 2011
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The app flow is even worse. Have you ever used Apple Pay in an app? You enter all your shipping and billing info and select shipping options on the Apple Pay sheet, to get denied and then you have to go back into their proprietary flow and enter the same billing and shipping addresses again. 2/3s of your customers will have to deal with this double entry.

I’ve used it a few times but I’ve never had an issue. It was all pretty seamless.
 
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skycorgan

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Jul 29, 2013
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That's awesome. I am waiting for Publix to do the same thing. They made a mistake on Twitter few weeks back.

The Publix stores in Richmond have all been taking Apple Pay since they opened in the last year or so, they never stopped accepting it so maybe a specific area?
 
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MisterSavage

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Nov 10, 2018
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Always amazes me seeing articles like this, and the fact that this is the way it works in the US. Coming from Australia, its hard to find a retailer that doesn’t take Apple Pay/Contactless Payments

It's so much better than it used to be here in the US but still not like that. I was amazed at how many places I could use Apple Pay in Europe.
 
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