Quarter of consumers fear Apple Pay will make spending spiral
While consumers welcome the launch of Apple Pay as a simpler and faster payment method, 24 per cent fear that using their phone instead of cards and cash will result in them spending more, and 25 per cent believe it will lead to more impulse purchases.
Apple Pay is a contactless payment technology, which pulls your credit cards, debit cards, and other payment data from the Passbook app. Due to launch in July, it will be available to iPhone 6 and Apple Watch users, and be accepted at over 250,000 locations.
According to the research, many consumers would like to see extra Apple Pay features to assist them limit their spending. Some 57 per cent would like the ability to check their balance, 38 per cent want a cap on ‘tap and go’ payments, 10 per cent want limits on when they can use mobile payments, based on the time of day, and 12 per cent limits on where (such as pubs and clubs).
One in four, however, believes no tool would help them remain in control of their finances.
While 26 per cent say they feel more comfortable using mobile payments with Apple behind the technology, 57 per cent of consumers aren’t comfortable with using their mobile phone to pay for goods or services. 45 per cent expressed concerns over the technology’s security.
“It’s great to see people being given more options on how to pay,” said says Nicholas Frankcom, money expert at uSwitch.com.
“This is a clear case of how technology can make peoples’ lives easier. If they can use these tools to help keep track of their money, that’s an added bonus.
“However, using your mobile to pay could be a double edged sword. If paying with your phone is so simple that we don’t think about whether or not we can afford it, it could lead to debt problems. New technology should be welcomed, but it’s equally important that consumers use it to help them take control of their finances, not lose it.”