Apple is making sure no opportunity is missed, from iOS 17 to expanding retail presence in India with store launches, and now introducing the Apple Savings Account.
U.S. Apple Card customers can now enjoy the benefits of earning interest through a dedicated Apple Savings Account.
Apple introduced a new financial product in October, but due to fluctuating interest rates, the specific interest rate for these accounts has not been disclosed.
Apple to Offer APY of 4.15% Through Apple Saving Account
Apple is currently set to offer an Annual Percentage Yield (APY) of 4.15% on its savings accounts, which compares favorably to the typical APY of 3.5% to 4.75% offered by traditional banks for savings accounts.
There are no fixed commitments on future interest rates for Apple’s savings accounts, as they may fluctuate up or down at any time.
Apple has once again teamed up with Goldman Sachs to offer this banking feature, with Goldman Sachs managing the savings accounts.
This ensures that the balances are covered by the Federal Deposit Insurance Corporation (FDIC).
Apple has designed this high-yield savings account exclusively for Apple Card customers, who can earn cash back on all their purchases.
By default, customers receive 1% cash rewards on all purchases, 2% for purchases made with Apple Pay, and 3% in rewards for purchases made with select merchants.
By default, customers receive daily cash rewards into their Apple Cash, which functions like a checking account and appears in the Wallet app.
The Apple Cash balance can be used to make payments with Apple Pay, pay off credit card balances, send money to friends and family, or transfer to a regular bank account.
Apple Card users now have the option to deposit their daily rewards into their savings accounts, making it easier to save money without having to actively think about it.
The savings account will be conveniently accessible from the Wallet app, allowing users to easily view their current balance, interest rate, and recent transactions.
Users have the flexibility to manually add or withdraw money from the savings account, and they can transfer the balance to Apple Cash or a regular bank account as desired.
Apple Savings Account to Help People Save Money
Jennifer Bailey, Vice President of Apple Pay and Apple Wallet, stated that the addition of the savings account feature allows Apple Card users to further leverage the benefits of Daily Cash while providing them with a convenient way to save money on a daily basis.
Apple’s goal is to develop tools that empower users to make sound financial decisions, and integrating the Savings feature into Apple Card in Wallet enables them to spend, send, and save Daily Cash seamlessly from one place, promoting healthier financial habits.
While Apple’s savings account does not have any associated fees, there is a maximum balance limit of $250,000.
However, there is no minimum balance requirement, and the APY of 4.15% applies to balances of any size.
