Apple officially launched Tap to Pay on iPhone on February 8, 2022, in the United States. The service was announced as a solution that transforms the iPhone into a contactless payment terminal, enabling merchants to accept payments without the need for extra equipment. Essentially, this service turns iPhones into POS (Point of Sale) terminals, eliminating the need for additional hardware.
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What is Tap to Pay on iPhone and how does it work?
Tap to Pay allows merchants to use their iPhone as a contactless payment terminal, without requiring additional hardware. It is a convenient solution for businesses to accept payments anywhere, using only their iPhone. Customers can make contactless payments by simply holding their card near the merchant’s iPhone. Payments can also be made with another iPhone or an Apple Watch via Apple Pay or other digital wallets.
Tap to Pay uses the NFC (Near Field Communication) chip built into iPhones to enable contactless payments. When a customer wants to pay, they just need to hold their contactless card or compatible Apple device (iPhone or Apple Watch) near the merchant’s iPhone. The transaction is processed through Secure Element, a technology that ensures the security of financial data.
Who can use Tap to Pay on iPhone?
Tap to Pay is currently aimed at businesses, including retail stores, restaurants, cafés, or any commercial activity where customers can make contactless payments.
To use Tap to Pay, merchants need a third-party service to facilitate payment processing. Currently compatible platforms include Adyen, SumUp, and Viva.com, offering easy-to-integrate solutions for businesses of all sizes. These services act as intermediaries, managing transactions made through Tap to Pay and ensuring both security and efficiency.
iPhone compatibility with Tap to Pay
Merchants wishing to implement Tap to Pay don’t need additional hardware. Digital money transfers occur contactlessly via NFC technology, securely and quickly.
Tap to Pay is compatible with all iPhone models starting from the iPhone XS and later, provided the device runs iOS 15.4 or newer. Additionally, merchants must install the payment processor’s app to manage transactions and receive funds in their business accounts.
While older models like the iPhone 6, iPhone 7, and iPhone 8 have NFC technology, Apple does not allow Tap to Pay functionality on these devices.
As more payment processors adopt this feature, we may see compatibility expand to other devices, such as the Apple Watch. Given the Apple Watch’s popularity for Apple Pay, such integration could make contactless payments even more convenient for users.
In which countries is the service available?
Tap to Pay on iPhone was initially launched in the United States, but Apple has quickly expanded it to other markets, including Europe. As of November 2024, the service is available in New Zealand and five additional European countries: Austria, Czech Republic, Ireland, Romania, and Sweden.
Stripe is available in Austria, Czech Republic, Ireland and Sweden; Global Payments together with Erste Bank is available in Austria, Czech Republic and Romania; Nexi is available in Austria and Sweden; Revolut is available in Austria and Ireland; myPOS and PAYONE are available in Austria; Square is available in Ireland; and Zettle by PayPal is available in Sweden.
In the coming weeks (November – December 2024), hobex in Austria, BOI Payment Acceptance/Global Payments in Ireland and Surfboard Payments in Sweden will enable Tap to Pay on iPhone for their customers. Tap to Pay on iPhone works with contactless credit and debit cards from major payment networks, including American Express, Discover, Mastercard and Visa.
Related: How to add bank cards to Apple Pay for Apple Watch?
Conclusion
Tap to Pay represents a significant step forward in the digitization and simplification of contactless payments, offering both merchants and customers a modern, fast, and secure solution. By turning the iPhone into a payment terminal without additional equipment, this feature opens new opportunities for businesses of all sizes. With a simple setup process and support for a wide range of compatible devices, Tap to Pay is more than a technological innovation—it is a practical solution for the future of commerce.
Beyond its practical advantages, Tap to Pay could also help reduce environmental impact by decreasing the need for additional hardware and traditional POS systems. While it may not completely replace traditional POS systems just yet, Tap to Pay on iPhone is poised to become an increasingly accessible and widespread tool as more payment processors adopt the system.
