Apple Card adds Savings account from Goldman Sachs offering 4.15% rate
Apple Card users can now use the Savings account to grow their Daily Cash rewards.
Apple Card was released back in 2019 as a way for Apple product users as a credit card that could take full advantage of Apple Pay and its suite of features. In a new update, Apple and partner Goldman Sachs are expanding what users can do with the Apple Card. There is now a Savings account that can be used to reap extra Daily Cash rewards and a relatively high APY.
Apple announced its new Savings account for Apple Card users in a Newsroom post today. The new Savings Account is backed by Goldman Sachs and boasts a 4.15 percent APY, which the company states is “10 times” higher than the national average.
“Savings helps our users get even more value out of their favorite Apple Card benefit — Daily Cash — while providing them with an easy way to save money every day,” said Jennifer Bailey, Apple’s vice president of Apple Pay and Apple Wallet. “Our goal is to build tools that help users lead healthier financial lives, and building Savings into Apple Card in Wallet enables them to spend, send, and save Daily Cash directly and seamlessly — all from one place.”
Daily Cash will automatically be deposited in users’ accounts as earned. They can also opt to deposit money from a linked bank account or their Apple Card balance. The Wallet app also allows users to track the interest earned on their Savings account over time.
The new Savings accounts for Apple Card users are available in iOS 16.4. With such a large APY, it will be interesting to see how well the new feature performs with Apple Card users, and if it incentivizes more to sign up for one. For more on Apple and its family of products and services, stick with Shacknews.
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replyDonovan Erskine posted a new article, Apple Card adds Savings account from Goldman Sachs offering 4.15% rate
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Apple Savings Account
So at 1pm eastern Apple is launching a savings account that yields 4.15%. You go to your Apple Card and click the ... in the upper right and click Daily Rewards and there will be an option to create it. It's held at Goldman Sachs Bank.
You can fund it via bank transfers, $10k limit per transfer, $20k in rolling 7 day window, or mail them a check they will deposit. Max account size $250k.
Solid option to easily park some $$ at a decent yield-
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they partner w Goldman Sachs to operate the bank, and Goldman has said they lose money on it so I think it's just a play at more iphone lockin
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ya know I just read this crap online and maybe it's wrong but heres the thing that said it
https://9to5mac.com/2023/01/13/apple-card-billion-dollars-plus-loss/
Goldman Sachs submitted a regulatory filing today for its “Platform Solutions” group of businesses that includes Apple Card. The collection of consumer offerings from Goldman is on track for a loss of $4 billion since 2020 with Apple Card making up more than $1 billion of that.
Reported by Bloomberg, the new performance details from Goldman’s Platform Solutions division paint a grim picture. In just the first nine months of 2022, the businesses including Apple Card saw a pretax loss of over $1.2 billion.
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Retail banking is an incredibly difficult business to break into. There is a reason you don’t see many new consumer banks breaking into the top 25.
GS has some very smart people running that group and they haven’t been able to get it to work. No doubt they could over time, but it’s not going to fit the parents earning profile.
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Wait it just launched! I see the option now cool
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I'm getting 3.50% on my liquid emergency fund at Capital One: https://www.capitalone.com/bank/savings-accounts/online-performance-savings-account/
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Lol wtf. That’s pretty good. Not in Canada I assume.
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Humble brag
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Ah, so this is only available to people who have the Apple credit card?
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I think so
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Yup
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As occasional Apple Card user this seems like a no brainer? Can just throw some cash in and won’t lock it up like a 4 or 5% CD
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Wow. Is there any catch at all?
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Looks like it's down to 4.25% now? https://www.ally.com/bank/no-penalty-cd/
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Sorry, minimum balance of $5k to get the high rate otherwise it's 0.25%
https://www.cit.com/cit-bank/bank/savings/platinum-savings-account -
Damn that’s crazy.
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I think I may set up an account now. I remember using them for my HOA. Thanks.
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How are they swinging this?
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Its really easy and exactly how high interest online banks do it as well.
They buy treasury bills that currently have a ~91 day avg rate of 4.98%
They give you 4.15% and keep the rest.
The APY can change any time as long is the entire apple card program is profitable.
This is driving people to open apple cards that can charge you an interest rate of 15-26% if you carry a balance.-
Huh, I'm guessing this is why my PayPal savings is giving me 4.15% right now as opposed to the 1~% my bank has.
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A couple of months ago I signed up for Marcus (also run by Goldman). High yield savings was 3.x% at the time but they just increased it to 3.90% a few days ago. https://www.marcus.com/us/en . No real limits on withdrawing.
If you sign up through a referral link you get an extra 1% bonus for three months (plus the referrer gets it as well). So I'm getting 4.90% for like 6 months now. Not too bad.-
You got one of those referral codes? Because I'm probably going to open an account there soon.
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The apple press release links to this terms
https://www.goldmansachs.com/terms-and-conditions/Deposits-Account-Agreement.pdf
MAXIMUM DEPOSIT LIMITS
The maximum balance for your Account is $250,000. We will include any funds deposited into your Account but not interest
or Daily Cash you’ve earned when determining the maximum balance limit. We may reject and return any funds transfer if
your Account exceeds the maximum deposit limit.
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Is the site getting hammered? I keep getting an error when applying for the card.
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I am not seeing how you add to savings…wtf? I think I did everything right. clueless right now
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I don’t have any transactions yet…maybe thats the problem.
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No I guess not. Can I do that on the phone?
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That doesn’t do it! No option in there!
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shoot I think I need to update the software…doh! Hopefully that works.
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Yeah you can do better with work but this looks so turn key and easy
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That means you're the loot goblin.
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I basically only use mine for Apple stuff
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Why's that? As long as I pay it off it doesn't seem to have hurt my credit score, or at least not enough that I noticed anything.
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I mean I just checked and my score is 806 and I have like every card. I think it's not material
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i'm at 732 and every contributor Experian lists is begging me to open more accounts. i just have the one credit card. i guess i should have signed up for more long ago
CONTRIBUTING FACTOR 1
You Have Too Few Credit Accounts
CONTRIBUTING FACTOR 2
Too Many Of Your Open Bank Card Or Revolving Accounts Have A Balance
CONTRIBUTING FACTOR 3
The Balances On Your Accounts Are Too High Compared To Loan Limits
CONTRIBUTING FACTOR 4
Too Few Of Your Bank Card Or Other Revolving Accounts Have High Limits
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Aren't there only upsides to having more lines of credit (assuming you pay everything off and aren't paying fees on unused cards)?
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Yep. Having lots of open lines of credit just makes it so when you use it the % use of your credit is much smaller which swings your credit rating around a lot less.
If you have lots of infrequent use cards you just have the headache of managing them all and remembering to pay the ones off that you use infrequently. Plus whatever the risk of getting hacked on a random card is. -
I have heard before that the concern can be that if you have a whole bunch of available credit, you could go out tomorrow and max all of them out and then not be able to pay anything else, which if I'm loaning you money for a car I might want to know about.
However, I'm sure the reality is more nuanced than that. -
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I should've never paid off my BoA card for this exact reason. I had a 9.5% fixed APR that they'd been trying to change on me for a decade+ by offering some good promos that would also require me to change to a variable APR. I never took the bait and just kept paying down the card like normal, so pretty much right after I got it down to a zero balance they closed the account and it dropped me down to the high 600s for the first time since my 20s. I was able to get it back to the high 700s again eventually, but it was still a pain in the ass.
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Define infrequent because I have between 5-10 transactions a month directly to Apple and at least one or two big ones every couple years.
That 3% adds up pretty quickly and there are people way worse than me.
If I hated Apple and refused to use their devices and services it would be a little less useful.
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Same or accidentally when I use apple pay sometimes . great way to save 3%
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me being an idiot, i've been using the same bank since my teenage years. my dad had opened an account for me at USBank. which like similar small community banks, only have up to 0.01% apy
so i only i recently openened accounts with CIT and Sofi.
after the SVB bungle, i'm gonna make sure i stay way under the FDIC insured cap.
forewarning for people looking at CIT Bank, their website and mobile apps are horrible. don't expect much.
Sofi's app is great.
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So fifth highest interest rate available? (others pay 4.25 to 4.75%)
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I got an email confirmation confirming savings is set up, but still getting “set up” prompts in the app. I think they are just overloaded.
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