I can add a card to my wallet no problem but when I try to set up Apple Pay it says my email does not support two factor authentication.

Hello Knighthawke1314,

Sorry but your question is confusing me a bit. Could you possibly be having trouble setting up Apple Cash rather than Apple Pay?

Set up Apple Pay - Apple Support

Apple Pay is set up as soon as a card is successfully added to the Wallet App. A possible issue with adding a card could be information the card issuer is requesting to verify and approve the card for use. Though the below linked article says you would pick the email the issuer displays, it may be defaulting to the Wallet App transaction information. You can check what email address is default for transactions by opening the Settings App > Wallet & Apple Pay. Another issue could be on your card issuer end if they require an extra step to enable two factor authentication that you have not previously completed or another issue.

Adding credit or debit cards to Apple Pay - Apple Support

“Adding additional verification

A card issuer can decide whether a credit or debit card requires additional verification. Depending on what’s offered by the card issuer, the user may be able to choose between different options for additional verification, such as a text message, email, customer service call, or a method in an approved third-party app to complete the verification. For text messages or email, the user selects from contact information the issuer has on file. A code is sent, which must be entered into the Wallet app, Settings, or the Apple Watchapp. For customer service or verification using an app, the issuer performs their own communication process."

The Wallet App may have automatically taken you to set up Apple Cash after you added the card to your Wallet. If so, two factor authentication is required on your Apple ID to be able to use this feature.

Set up Apple Cash - Apple Support

I hope this helps.