If you own an iPhone, you’ve likely heard about Apple’s growing list of financial tools. Apple Cash and Apple Pay are among these useful products—but their similarities make even seasoned Apple users wonder which one to use in which situations.
To put it simply, Apple Pay is designed for making purchases, while Apple Cash lets you transfer money to others. Knowing how and when to use each can simplify daily tasks like splitting rent, buying groceries, or sending money to loved ones.
This Remitly guide breaks down both services with clear explanations and real-world examples so you’ll always know which one to use. Plus, we’ll share handy setup and security tips.
What is Apple Pay?
Apple Pay is Apple’s contactless payment system for easy purchases in stores, online, and in apps. You can use it on your iPhone, Apple Watch, iPad, or Mac—no physical card required.
Instead of swiping or inserting your debit or credit card, this feature allows you to simply hold your device near a contactless reader (or tap the Apple Pay button when shopping online). Every payment is authorized with Face ID, Touch ID, or your device passcode, so you don’t have to worry about security.
Over 85% of retailers now accept Apple Pay, from grocery stores and pharmacies to ride-hailing apps and streaming services. Apple doesn’t charge you extra fees to use it. If your card is accepted, Apple Pay is too.It’s also compatible across Apple’s ecosystem. Pay with your iPhone at the checkout line, use your Apple Watch to grab a post-run coffee, check out on an iPad, or complete purchases on a Mac with just a touch or a click.
Apple Pay doesn’t store money; it simply provides a safe, convenient way to access funds already in your bank account or credit card.
What is Apple Cash?
Apple Cash is part of Apple’s suite of Apple payment services built into the Wallet app. Think of it as a virtual debit card for sending, receiving, and spending money, similar to Venmo, Zelle, or Cash App.
When someone sends you money through Apple Messages, it appears instantly in your Apple Cash balance. From there, you can keep the money in your Apple Wallet to use for purchases, or you can transfer it to your bank account or debit card for easy access.
Like Apple Pay, every Apple Cash transaction is authorized with Face ID, Touch ID, or your passcode, and your financial details are never shared.
Apple Cash is versatile, letting you:
- Send money easily to friends and family in Messages, so you can split dinner, reimburse a friend, or gift money as easily as sending a text.
- Shop anywhere Apple Pay is accepted, since Apple Cash works automatically as a payment method.
- Access your money quickly by transferring funds to a linked bank account or eligible debit card.
There are no fees to send or receive money with a debit card. Credit card transactions carry a small standard fee, but the convenience of sending money directly in Messages makes Apple Cash a seamless option for most people.
The key differences between Apple Cash and Apple Pay
While both Apple Cash and Apple Pay live inside the Apple Wallet, there are a few key differences.
| Feature | Apple Pay | Apple Cash |
| Purpose | Make purchases in stores, online, and in apps | Send and receive money between people |
| Funding source | Uses your debit card, credit card, or bank | Uses money you receive or add to Apple Cash balance |
| Fees | No fees for regular transactions | Free to send, receive or request money, but fees apply with card transfers |
| Availability | Widely available for purchases wherever Apple Pay is accepted | US only (as of now) |
| Transaction limits | Depends on your bank or credit issuer | Daily and weekly limits on sending/receiving money |
In short, Apple Pay is for shopping, while Apple Cash is about sharing money with friends and family.
Getting started with Apple payment services
If you’re an iPhone user, you probably already have your Apple Wallet set up on your phone. If not, you’ll need to open the app and add a debit or credit card to get started using Apple contactless payments.
How to set up Apple Pay
Setting up Apple Pay is straightforward:
- Open the Wallet app on your iPhone.
- Tap the plus sign in the top-right corner.
- Choose Credit or Debit Card.
- Follow the on-screen instructions to scan your card or enter details manually.
- Verify your card with your bank (you may get a text, email, or call).
You can add multiple cards and set a default card for convenience. If you travel frequently, you can even set different cards as the default depending on the country you’re in.
How to set up Apple Cash
Apple Cash requires a few more steps to set up because it essentially turns your Wallet into a money-holding account.To use Apple Cash, you must be 18 or older (or part of Apple Cash Family if under 18), live in the US, and own an iPhone, iPad, or Apple Watch with the latest software.
Once you’ve confirmed meeting those requirements, here’s how to set up Apple Cash:
- Open the Setting app.
- Tap Wallet & Apple Pay.
- Toggle Apple Cash on.
- Under Payment Cards, tap Apple Cash.
- Tap Continue and follow the prompts to set up your card.
You can add money to your Wallet by tapping your Apple Cash card, selecting Add Money, and linking a debit card or bank account. You can use funds instantly wherever Apple Pay is accepted.
When should you use Apple Pay vs Apple Cash?
Knowing when to use each service can save you time and money.
Apple Pay is best for shopping. If you’re buying groceries, grabbing a coffee, or checking out online, Apple Pay is the faster, safer choice. It eliminates the need to swipe, insert, or type in card details.
Apple Cash, however, is best for splitting bills and sending money within the US. If you need to send half your rent, or you want to send money as a gift, Apple Cash is the right tool.
Fees and limits comparison
One of the biggest differences between Apple Pay and Apple Cash lies in the cost of using them.Apple Pay doesn’t charge extra fees. If you buy a five-dollar coffee, five dollars will come out of your account—no surprises. The only potential costs are if you’re using a credit card, in which case your card’s regular interest rates or fees may apply.
Apple Cash, on the other hand, charges a 1.5% fee ($15 USD maximum) for Instant Transfers to send money to an eligible debit card. You can transfer your Apple Cash balance to a bank account without paying a fee, but this will take one to three days to process.
There are also transfer limits. You can send or receive up to $10,000 USD per transfer or per seven-day period. When it comes to transferring funds from Apple Cash to your debit card or bank account, the limit is $10,000 per single transfer and $20,000 within a seven-day period. That might sound like plenty, but it’s something to keep in mind if you’re handling larger amounts of money.
International usage considerations
Apple Cash works only within the US, which can be limiting. You cannot send Apple Cash to someone abroad, nor receive it if you live outside the US.Apple Pay, however, has much broader availability. As long as your bank supports it, you can use Apple Pay in dozens of countries, including Canada, the UK, much of Europe, and parts of Asia and Latin America, making it a convenient tool for travel.
For international transfers, neither Apple Cash nor Apple Pay is the right tool. That’s where services like Remitly come in. Remitly is designed specifically for international money transfers, allowing you to send funds to loved ones in over 170 countries with flexible options like bank deposits, digital wallets, or cash pickup.
Security and privacy features
Security is one of Apple’s strongest selling points, and both Apple Pay and Apple Cash are built with multiple layers of protection. Apple Pay never shares your actual card number with retailers. Instead, it uses something called tokenization, which creates a unique code for each transaction. That means even if a store’s system is hacked, they won’t have your card number, so your information can’t be stolen.
Apple Cash uses similar protections. Every transfer requires biometric authentication or a passcode, and your balance is FDIC-insured through Apple’s banking partner, Green Dot Bank. This means your money is protected up to federal insurance limits, just like it would be in a traditional bank account.
Fraud protection differences
Fraud protection works differently for each service:
- Apple Pay: Purchases are covered by your bank or credit card’s existing fraud protection policies. If there’s an unauthorized charge, you’d report it to your card issuer just as you would with a physical card.
- Apple Cash: Since it’s issued through Green Dot Bank, Apple Cash has its own dispute resolution process. If you suspect fraud, you can file a claim through Apple Support, and your funds are protected up to the FDIC insurance limits.
This difference is important. Apple Pay is essentially a safer way to use your existing cards, while Apple Cash is a bank-backed account with its own built-in protections.
What to do if your device is lost or stolen
Since transactions require Face ID, Touch ID, or your passcode, a thief can’t simply pick up your phone and start spending. However, there are extra steps you can take to add another layer of protection and peace of mind:
- Use Find My to remotely lock your device and suspend Apple Pay and Apple Cash.
- Contact your bank or credit issuer to let them know your card may have been compromised, especially if you have cards linked to Apple Pay.
- Call Apple Support if you’re worried about your Apple Cash balance. They can help suspend the account and start the dispute process if needed.
Choose the right Apple payment method for your needs
So which service should you use? The answer depends on your situation.If your main goal is to shop conveniently and securely, Apple Pay is the clear choice. It saves you from carrying cards and speeds up checkout. However, if you want to send or receive money from people in the US, Apple Cash is better suited for the job. It works seamlessly with the Messages app and allows quick transfer between Apple users.
The good news is that you don’t have to pick just one: many people use both together. For example, you may receive $100 from a friend through Apple Cash, then use Apple Pay to spend that money at a store.
Just remember: if your loved ones live abroad, Apple Cash won’t help. That’s when it’s better to use services like Remitly, which are built to make international transfers simple, fast, and affordable.
FAQ
Can I use Apple Cash and Apple Pay together?
Yes, your Apple Cash balance can be used as a funding source when you pay with Apple Pay.
Is Apple Cash available in my country?
Apple Cash is currently only available in the US.
What happens if I don’t have enough Apple Cash balance for a purchase?
If you don’t have enough money in your Apple Cash balance to cover a purchase, Apple Pay will automatically charge the rest to your linked debit or credit card.
Are there fees for using Apple Pay at stores?
No, Apple Pay doesn’t charge any fees to use, and it works just like your physical debit or credit card.
Can I send Apple Cash to someone who doesn’t have an iPhone?
No, both you and the recipient must have Apple devices and Wallet set up.