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 available funding options.
Starting on March 25, 2019, we will no longer support using credit cards to fund person to person payments. This will ensure Apple Pay Cash customers never have to worry about cash advance fees that may be charged by issuing banks. You can continue to send money for free with Apple Pay, with no fees at all, using your debit card or your Apple Pay Cash balance.
Previously, it was possible to send money with a credit card by incurring the 3% fee. I’m not sure if this was used much as a means of manufactured spend, possibly for meeting a spend requirement, for the US Bank Altitude, or to unload Amex gift cards. Regardless, it’s no longer an option anymore.
In the same update email, Apple notes that they’ve now added an Instant Transfer option where the funds from your Apple Cash balance can be instantly credited to your bank for a 1% fee with a minimum $.25 fee and maximum $10 fee. You can still use the slower ACH transfer option for free.
Thanks to our friend Grant from Travelwithgrant for sharing this with us.
I find it odd that they cut support immediately without more than a couple hours notice. I know someone with only 1 debit card and 1 credit card and their debit card isn’t supported by Apple Pay, so they lost the ability to send money entirely.
Can you use Apple to drain prepaid gift cards?
This will ensure Apple Pay Cash customers never have to worry about cash advance fees that may be charged by issuing banks
Yeah, thinking about the little guy eh? When has Apple ever given a break to the little guy? Just look at their overpriced products and services. We all know its to stop people from churning their newly released product in conjuction with Apple Pay.
No SUB for new Apple card, 2% cb and 3% fee for cc peer to peer payment. I fail to see the churning opportunity to churn on that product
This option was a teaser that was planned to be phased out once there was enough adoption of the product.
The change is coming. With Amex’s ominous May 1st adjustments to cash advance, the writing is on the wall that person to person CC funded payments may well be cash advance going forward for most issuers, possibly in as little as a month with Amex.
3% cash back for the new Apple Credit Card is coming.
Bummer I wanted to use this feature in conjunction with the new upcoming Goldman backed apple credit card……. NOT!!!
Google allows me to do instant transfers to my debit card free of charge. Apple and PayPal really need to step up their game in the payments arena if they want to compete.
Facebook payments were free and instant to debit card last I knew as well.
Facebook messenger, Google Pay (formerly Google Wallet), Circle Pay are all free debit to debit instant P2P transfers.