Apple Pay Cash Ends Support for Funding Person-to-Person Payments With Credit Cards

Apple Pay and Apple Pay Cash will no longer support sending person-to-person payments with a credit card as the funding source. Only debit cards or Apple Pay Cash balance are now available funding options.

According to a new report from MacRumors, Apple yesterday began sending emails to Apple Pay customers warning of new changes that are taking effect immediately with the brand-new iOS 12.2 and watchOS 5.2 updates.

“Credit cards are not Supported Payment Cards and therefore cannot be used to fund a P2P Transfer or to add funds to your Apple Pay Cash Card,” the updated guidelines state.

Both Apple and Green Dot Bank — the service Apple uses for Apple Pay Cash — say that the reason they dropped credit card support it to help customers avoid cash advance fees that a bank may pass on to a customer when paying an individual with Apple Pay Cash.

It’s not known whether Apple will make an exception for the Apple Card when it is launched in the summer, but one can only imagine that the move is designed to boost adoption of the company’s own card.



Apple has also added an Instant Transfer option that lets users transfer money from Apple Pay Cash, and Green Dot Bank says the service works “within minutes of your request, but could take up to 30 minutes.” Users will also be charged a 1 percent transfer fee.

Unfortunately, none of this applies to Canada, where the service still hasn’t been introduced. However, some users after updating to iOS 12.2 are now seeing Apple Pay Cash setup within Wallet, similar to what beta testers have seen for a while.