If you're worried about the comparative safety of the upcoming Apple Pay service, you might be comforted to know that several reputable banks have expressed confidence in the service. The Daily Dot spoke with four of the banks involved in the project today — heavyweights like Chase, PNC, Navy Federal Credit Union, USAA — and all seem in agreement that Apple has something good on its hands.
Much of this confidence rests on Apple's use of tokenization, which involves Device Account Numbers that keep key information such as transactions and credit card numbers hidden behind single-use security codes and Touch ID. According to Randy Hopper, vice president of credit cards at Navy Federal, the system "addresses all points of weakness across the payment system."
PNC and Chase echoed the thoughts of Vikram Parekh, assistance vice president at USAA, who claims that Apple's payment system is secure enough that the bank plans to assume all liability for fraudulent purchases made both online and in stores.
"USAA has a zero liability policy and members are never liable for any losses related to unauthorized [or] fraudulent activity, this does not change with Apple Pay," Parekh said in the report. "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."
Notably, the banks claim that they'll be able to tell if a particular transaction took place with a credit card or Apple Pay owing to the "nature of the data." The service itself is expected to launch sometime this month, and Chase customers can expect to pick it up as soon as Apple releases it. USAA customers will follow close behind on November 7, and PNC and Navy Federal customers can start using it at a currently unspecified time this season.