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Buying an iPhone from an Apple Store

A friend has told me that if I buy a new iPhone directly from an Apple store that they will transfer everything from your old phone onto the new one. Is that correct? If it is will they do it in front of me? This would be very useful but I'm just a bit wary of them taking my phone away and then having full access to all my apps and passwords, it just doesn't sound very safe. Is there any other safe way of transferring between phones? I don't use the cloud services

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