iPhone 13 wallet cannot be read on retail machine although credit cards are valid

Are you successfully authenticating yourself beforehand w/ with FaceID …

… and does your phone’s screen display “Hold Near Reader” ?

Has it worked previously ?

https://m.youtube.com/watch?v=EKB8_OeWGDo

You need to have Apple perform diagnostics on your iPhone. It can be done in person at an Apple Retail Store or at an Apple Authorized Service Provider. You can also contact Apple Support and request remote diagnostics.

If you’re in the US please call  1-800-MY-APPLE or outside the US, consult the support articles below.

Contact Apple for support and service - Apple Support

Genius Bar Reservation and Apple Support Options - Apple

Explore Service Locations

Official Apple Support

Has it worked previously ?

Thanks for jumping in. 👍

You’re welcome! It’s probably an NFC hardware issue. Could be the case, if OP is using one.

My thoughts exactly.