Apple Pay enabling biometric payments at the point-of-sale

NFC included in latest iPhones, Apple Watch

The rumors are true, the latest set of iPhones will include near field communication and consumers will be able to pay by using the Touch ID sensor built into the handset. The Apple Watch, a new wearable from the computing giant, will also have NFC and enable payments.

The iPhones 6 and 6 Plus will both include NFC and a secure element that will store all the payment card data. Apple teamed with MasterCard, Visa, American Express, Capital One, and other banks, as well as 220,000 retailers.

Consumers will be able to use the credit card associated with their iTunes account or add another card by taking a picture of it with the iPhone’s camera. When making a purchase in store a consumer will hold the phone up to the contactless point-of-sale reader and then authenticate with Touch ID to make a purchase.

If someone loses his or her iPhone the owner can use “Find My iPhone” to put your device in lost mode so nothing is accessible, or you can wipe your iPhone clean completely.

Apple Pay will also enable purchases within apps or mobile web sites. Consumers will use Touch ID and shipping, billing and payment info will be sent. Apple Pay is built into the latest iPhone handsets but won’t be available until a software update for U.S. users in October.

The new Apple Watch, available in early 2015, will also include NFC and the ability to make payments. To pay with Apple Watch, a user will double-click the button under the Digital Crown and hold their wrist up to the contactless reader. Consumers will hear and feel a confirmation from Apple Watch once the payment information is sent.

A feature that will enable Starwood Hotel guests to access their hotel rooms is expected to roll out in 2015 as well. It’s not clear if this will use NFC or Bluetooth Low Energy but some Starwood properties have previously announced rollout of BLE technology for guest access.