According to unnamed sources speaking to The Wall Street Journal, Apple is looking to expand Apple Pay to include a person-to-person payment option in order to compete with services like PayPal’s Venmo or Google’s person-to-person payments through Google Wallet.
The sources said that no deals have been struck with any banks yet, but the WSJ notes that heavy-hitters such as JP Morgan Chase, Capital One, Wells Fargo, and US Bank have sat down with Apple to discuss the possibility of a partnership. Several banks, like Chase, already have a person-to-person payment function through their own website or app.
One source told the paper that a person-to-person option could get off the ground as early as next year.
Existing person-to-person payment services allow people to link their bank accounts to a profile so they can easily transfer money to another person without using a check or cash. On many platforms, transferring money person-to-person from a linked bank account is generally free, but paying via debit or credit card can sometimes come with a convenience fee.
According to PayPal, $2.1 billion was transferred through Venmo in the company's third quarter.
The Wall Street Journal says it’s unclear if or how Apple will make money on a person-to-person payments service, but it’s possible the function could simply serve as a way to draw people into the Apple ecosystem.
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