Why aren’t you asking these questions of your bank? Your bank controls adding the cards. Some banks require additional security measures before a card can be added. Why didn’t your bank? Why doesn’t your bank have a cooling off period? Because they don't want one.
Apple doesn’t approve or deny adding a card to Apple Wallet the bank establishes its requirements. Apple doesn’t approve not approve or decline transactions, only the issuing bank can approve or decline a transaction.
Why doesn’t Apple identify card users. Apple doesn’t have the required information. The card being added, legally belongs to the bank. The bank has all your identification such as current address, drivers license, and background (from credit reports obtained when you applied for the card). Apple has no legal standing to interfere with the bank or you.
What does Apple Pay do? Provides a secure and private encryption of your personal and financial information. Stores it in a separate area of your iPhone (Secure Enclave) that has never been hacked and likely can’t be. Transmits encrypted information to the merchants terminal and receives transaction data after the transaction is complete to display in your Wallet app.
So please explain how Apple is at fault? In regard to liability, I don’t know your banks terms and conditions, that you agreed to, when you added your cards to Apple Wallet. You must have read them and understood them, correct?
Many credit cards offer fraud protection. If yours does not, check with the Payment, Network Operator (Visa, Mastercard etc.). When you talked to the bank did you talk to their fraud department or just their regular tier one support person? Fraud department usually does a better job.
Lastly, credit card information is not stored or backed up to iCloud. Apple does require 2FA to make major iCloud changes, unless you give them your passcode. But even if they have the passcode, there’s no financial information stored or backed up by Apple.
