If you are using Apple Pay on your iPhone ($699 at Amazon) or Apple Watch ($399 at Apple), you might have wondered about the tiny black Apple Pay oval that is at the bottom of your Messages app. Or perhaps you've had a friend who sent money with Apple Cash and you're wondering what to do with it. I'm going to show you how to use Apple Cash in your Apple Pay wallet to send, receive and request money as well as transfer cash into your bank account.

With Apple Cash, Apple Pay and the Apple Card -- aka Apple's credit card -- it can be a little confusing to know what each does and doesn't do. Apple Cash is tied to your Apple Pay and lets you make purchases in stores, apps and on the web. You can also transfer the money you have on Apple Cash to your bank account. It's very similar to the way Venmo and the Cash app by Square works, except it's tied to your Apple ID.

You can send people money with Apple Cash and people can send you money, which is automatically and securely kept on your Apple Cash card. However, there's not an actual physical card, just a metaphorical one. If you want to follow along step by step, check out the video above.

Set up Apple Cash on your iPhone

Let's start by setting up Apple Cash on your phone. 

Open the Wallet app on your phone. If you already have Apple Pay set up you'll see the black Apple Cash card. By the way, if you tilt and pan your phone, the colored circular pattern on the card will change colors. There is no practical use for this feature aside from being entertaining. 

1. Tap the card, and then select Set Up Now. 

2. On the next screen, tap Continue. After a moment, the Apple Cash is Set Up window will pop up. 

3. Hit Continue. If you don't have a debit card on your phone, you'll be prompted to add one. If you choose to not add one, you can add it later but won't be able to send money because you don't have any.

If you don't have Apple Pay already set up take a look at CNET's how to set up Apple Pay article to get started.

Sending Apple Cash 

1. To send cash, open up the Messages app and then go into a conversation or start a new one. 

2. Tap the Apple Pay button below the message field. If you don't see it tap the Apps icon to reveal it.

3. Next, tap the plus or minus buttons to add the amount you want to send. 

4. Then, if you want, add a message to go with the payment. 

5. When you're ready to send, tap the black circle with a white arrow.

By default, any money you already have in Apple Cash will be used to make the payment first. Otherwise, if you don't have any money, the debit card tied to your phone will be charged.

Apple Cash on the Apple Watch

Apple Cash isn't just limited to your phone. You can also use it on your Apple Watch. 

1. In Messages, scroll down, then tap the Apple Pay button. 

2. Turn the Digital Crown to add or subtract money. 

3. Then tap Pay. 

Speak to Apple Pay

By the way, you can also use Siri to pay someone with Apple Cash. Simply trigger Siri and say, "Siri, Apple Pay 80 dollars to Eric Franklin."

Request Apple Cash from someone

You can also use it to request money. For example, if you bought tickets to a movie for yourself and a friend, you can request the money they owe you. 

1. From Messages tap the Apple Pay button. 

2. Next, enter an amount and then tap Request. You don't have to, but it's probably a good idea to add a message. 

3. When you're done hit Send. 

Receive Apple Cash and transfer to bank

Next, comes the fun part: when someone sends you money. When you receive Apple Cash from someone, it's automatically received and kept in Apple Cash by default. If you have your Apple Cash card setup you can use your balance to make purchases in apps, online and in stores. Otherwise, you can transfer Apple Cash into your bank account. 

1. Open the Wallet app and tap on Apple Cash. 

2. On the next screen, tap the black circle at the top of the screen. 

3. Then locate and tap the Transfer to Bank button. 

4. Enter the amount you want to send and hit Next. 

5. Then choose 1-3 Business Days. If you don't have a bank account set up, follow the instructions on your screen to add one. 

6. Next, you need to confirm with Face ID, Touch ID, or your passcode. Then, comes the worst part: waiting for the money to transfer.

If you have a Visa debit card tied to Apple Pay you can use instant transfer to get the money into your bank account fast. After you tap Transfer to Bank, hit Instant Transfer. Next, select the Visa debit card you want to transfer money to and the billing information. Your funds should transfer within 30 minutes. You might be charged a 1% fee to use instant transfer.

Cancel an Apple Cash payment

There might be a time when you need to cancel an Apple Cash payment. For example, if you sent someone money who hasn't accepted, you might want to cancel it and pay them via a different method. 

1. Open Messages and go to the payment or find the payment on the Latest Transactions screen underneath Apple Cash card in the Wallet app. 

2. Tap the payment to see its details, then check the status field. 

3. From there, tap Cancel Payment. The status field should update to read Canceled. If you don't see the option to cancel, then the person has already accepted the payment. In which case you'll need to ask the person to send money back to you.

Apple Cash is a really convenient albeit complex system. Once you have the basics set up, you should be good to go.