Will Apple Pay upset the payment cart and make your wallet obsolete?


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Apple, which changed the way people listen to music and use their phones, launched Apple Pay on Monday. Some tech experts say the new method for making point-of-purchase payments will also be a game changer for personal finance.

ABC News reports the roll out of the Apple mobile payment product will work on the new iPhone 6 and iPhone 6 Plus. The devices allow users to pay at the cash register with their device equipped with Apple Pay. It will eliminate swiping a credit card or waiting for a cashier to make change at some 220,000 retail locations in the U.S.

The Wall Street Journal reports the retail partners taking part in Apple’s tap-and-go payment system include Whole Foods, McDonalds, Walgreens, Bloomingdale's, Macy's, Subway, Petco, Staples, Radio Shack and Chevron. Apple Pay users must add their debit and credit card information into Apple’s Passbook app, which is automatically installed on iPhones.

Apple CEO Tim Cook said that when purchases are made, a user’s financial information isn’t exchanged, adding that Apple Pay is a secure and private way to make purchases. Cook also said that some iOS apps will also be able to use Apple Pay, saying that Starbucks, Target and Groupon will roll out integration.

When Apple Pay was announced last month, Twin Cities Business reported that three companies with a large presence in the Twin Cities were preparing for the new technology: US Bank, Wells Fargo and Target. "Both US Bank and Wells Fargo plan to make their debit and credit cards available for use wherever merchants offer contactless payment terminals. Target will take advantage of Apple Pay online and through its iPhone app, it said.

Businessweek reportsWal-Mart is rejecting Apple Pay. The world's largest retailer has said it has no plans to accept Apple’s payments and is working on its own system in conjunction with a handful of other big merchants.

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