Apple has launched a savings account, in conjunction with Goldman Sachs. This savings account is only available if you have an Apple Card and have it added to Wallet. The interest rate is set at 4.15% today. Every time you earn Daily Cash on your credit card purchases it will get deposited to the savings account. 2.08% in rewards is okay. I have to imagine having 4.15% on your savings will motivate more people to move money out of big banks, low paying brokerage accounts, and fintechs.
To get the new feature, CNBC and Apple have separate guides. You need to enable two-factor authentication and have downloaded the latest Apple software update (16.4.1 on my phone).
This will serve to increase the stickiness of Apple’s ecosystem.
How does it compare to other popular cards?
Apple: Earn up to 2%, get rewards daily, earn money on your rewards, interest paid out monthly, our credit card rate is 15.74%, no fees
SoFi: Earn 2%, get rewards monthly, don’t earn money on your rewards automatically, interest on savings paid out monthly, our credit card rate is 18.49%, no annual fees
Citi Costco: Earn up to 4% on certain categories, get paid every year, don’t earn money on your rewards automatically, our credit card rate is 19.74%, requires a Costco membership
The spread between what Apple charges in interest and gives you in interest is lower than both of our other cards. That’s better for consumers.
What do you think of Apple’s move to add a savings account? We plan to move some money soon. Might we suggest Apple adds buckets, to make it easier to save? SoFi has it and it’s great. If you’re interested in the Apple Cars, you can use our referral link.
https://apply.applecard.apple/?cid=apy-616-10000012&utm_content=referdailycash
Till tomorrow.
Sincerely yours,
smilingdad
smilingdad 