Scammers Taking Advantage of Apple Pay

Scammers Taking Advantage of Apple Pay

Scammers have figured out ways to manipulate Apple Pay, allowing criminals to use the platform to buy items with stolen identities and credit cards, according to a report.

“The crooks have not broken the secure encryption around Apple Pay’s fingerprint-activated wireless payment mechanism,” says Charles Arthur of The Guardian “Instead, they are setting up new iPhones with stolen personal information, and then calling banks to ‘provision’ the victim’s card on the phone to use it to buy goods. Criminals with the stolen IDs are understood to have targeted Apple Stores in particular because they both accept Apple Pay and offer high-value items, which can then be sold on for cash.”

Apple has responded, saying this is a problem on the banks’ end given that Apple Pay requires banks to verify each card and approve whether or not a card can be added to Apple Pay.

Banks are looking to implement better verification and checking systems to prevent this from occurring going forward. The secure encryption of Apple Pay has yet to be broken.

Tim Sloane, vice president of payments innovation at the Massachusetts-based financial consultancy Mercator Group, said: “These are probably just some teething problems. If the banks can nail down the authentication, they should see less fraud on Apple Pay,” and added: “Battle plans always look great until you meet the enemy.”

About the Author

Matt Holden is an Associate Content Editor for 1105 Media, Inc. He received his MFA and BA in journalism from Ball State University in Muncie, Indiana. He currently writes and edits for Occupational Health & Safety magazine, and Security Today.

Featured

New Products

  • EasyGate SPT and SPD

    EasyGate SPT SPD

    Security solutions do not have to be ordinary, let alone unattractive. Having renewed their best-selling speed gates, Cominfo has once again demonstrated their Art of Security philosophy in practice — and confirmed their position as an industry-leading manufacturers of premium speed gates and turnstiles.

  • Luma x20

    Luma x20

    Snap One has announced its popular Luma x20 family of surveillance products now offers even greater security and privacy for home and business owners across the globe by giving them full control over integrators’ system access to view live and recorded video. According to Snap One Product Manager Derek Webb, the new “customer handoff” feature provides enhanced user control after initial installation, allowing the owners to have total privacy while also making it easy to reinstate integrator access when maintenance or assistance is required. This new feature is now available to all Luma x20 users globally. “The Luma x20 family of surveillance solutions provides excellent image and audio capture, and with the new customer handoff feature, it now offers absolute privacy for camera feeds and recordings,” Webb said. “With notifications and integrator access controlled through the powerful OvrC remote system management platform, it’s easy for integrators to give their clients full control of their footage and then to get temporary access from the client for any troubleshooting needs.”

  • Unified VMS

    AxxonSoft introduces version 2.0 of the Axxon One VMS. The new release features integrations with various physical security systems, making Axxon One a unified VMS. Other enhancements include new AI video analytics and intelligent search functions, hardened cybersecurity, usability and performance improvements, and expanded cloud capabilities