Using Your iPhone for Cash Loans? It Could Happen: Apple Patented It!

In a world of online payday loans that are suspect at best, and in an economy when a cash advance doesn’t carry the stigma it once did, a solution for quick cash loans is needed. Apple may have the answer, based on a pending patent application.

Yes, we’re talking about money on the spot. A patent application filed in July 2011, but only recently made public, indicates that Apple is planning an “ad-hoc cash dispensing network.”

Based on the application, a user in need of cash could send out a request based on the amount needed, his or her location, and the time by which the money is needed. That user could then be paired up with someone nearby who is willing to loan the cash.

The party loaning money would need to have money in an account, and the person to whom the money is being loaned would have the loan amount plus a fee deducted from his or her account. That fee would be shared between Apple and the lender.

Apple describes the proposed exchange process thusly:

“Following the transfer of cash between the parties, the requesting user’s account is charged for the     service while the providing user’s account is credited for the service.”

“This digital transfer may be performed over the network … or through a local medium such as through Bluetooth or an infrared transfer mechanism included in the client terminals,” reads the application.

Apple’s apparent plan for cash loans is an improvement over Near-Field Communication (NFC), which allows people to use their mobile devices to pay for merchandise, with that money deducted from a pre-determined account. The improvement comes in the fact that people can use their iPhone for money, as in cold hard cash.

Although this plan sounds intriguing, a lot of questions remain: what about personal safety? What about accountability, as actual cash seems to be involved? As with any patent application, Apple may or may not bring this idea to fruition.

But if it does come to pass, it sounds like allowing users to use their iPhone for cash loans would be something iPhone users could bank on.

[via: CBC]

Image Credit: Andy Money