Apple has introduced a new feature for Apple Card customers in the U.S. – a high-yield savings account with an interest rate of 4.15%. This new financial product, announced in October, offers a competitive annual percentage yield (APY) compared to other savings accounts, which currently range from 3.5% to 4.75% according to Bankrate.
The savings account is managed by Goldman Sachs, Apple’s banking partner, and is covered by the Federal Deposit Insurance Corporation (FDIC). It is exclusively available for Apple Card customers, who already receive cash back on purchases made with their Apple Card. By default, customers earn 1% cash rewards on all purchases, 2% on purchases made with Apple Pay, and 3% on purchases with select merchants.
What makes this savings account convenient is that customers can choose to automatically deposit their daily cash rewards into their savings account, making it an easy way to save without much effort. The savings account can be accessed and managed through the Wallet app, where customers can view their current balance, interest rate, and transaction history. They can also manually add or withdraw money, and transfer their balance to Apple Cash or a regular bank account.
There are no fees associated with Apple’s savings account, but there is a maximum balance limit of $250,000. Apple aims to provide tools that help users lead healthier financial lives, and this integration of savings into the Apple Card and Wallet app allows users to seamlessly spend, send, and save their daily cash rewards in one place.