• Apple offers annual interest of 4.15 percent
• Apple Savings Account with no fees, no minimum balance, and no minimum deposits
• Launch date for Apple credit card in Germany is open
Apple is an American hardware and software developer with a market capitalization of $2.59 trillion. In the 2022 fiscal year alone, 238 million iPhones were sold. In the Wallet app, iPhone users can add bank or credit cards and then pay with Apple Pay.
The Apple Card has been available in the USA since August 2019 – a credit card from Apple in cooperation with the US investment banking and securities trading company Goldman Sachs. The credit card is available with different conditions that depend on the creditworthiness of the customer. Depending on your credit rating, you pay between 11 percent and 22 percent interest. Now the Apple Card is being expanded with the option of opening a savings account.
Apple savings account offers 4.15 percent interest
In a recent press release, Apple announced that Apple Card customers can now open and manage a savings account with Goldman Sachs through the Wallet app. This offers an annual interest rate of 4.15 percent. That’s more than 10 times the national average, according to Apple. There are no fees, and there are no minimum balances or deposits.
“Our goal is to create tools that help users lead healthier financial lives. Integrating a savings account with Apple Card allows them to spend, send or save money […] and all from one place,” Jennifer Bailey, vice president of Apple Pay and Apple Wallet, is quoted as saying in the press release.
User-friendly dashboard
According to Apple, the user-friendly savings dashboard is inviting, in which the customer can easily see his account balance and the interest earned over time. In addition, money can be withdrawn at any time by transfer to a linked bank account or the Apple Card.
It is unclear whether and when Apple’s credit card will come to Germany. According to Apple boss Tim Cook, the plan is to bring the card to Europe. However, these have to be introduced individually for each country, since the regulations are different everywhere, as he explained to the Bild newspaper in 2019.
competition for bank deposits
Ever since the bankruptcy began in the USA, there has been a fight for deposits. Many investors are withdrawing their bank deposits from the small and medium-sized banks and going to larger competitors. Banks are forced to raise interest rates to avoid losing more customers. Apple has joined the competition for deposits with its high-yield savings account.
Alexandra Garfinkle, a reporter at yahoo finance, says in a video: “I think the essence is that on the one hand we have a trustworthy technology company that makes easy-to-use and stylish consumer products. They are expanding their Reach with arguably the most famous bank at a time when banking is very vulnerable”. She says the offering in the fintech space could be worthwhile for both companies in the end. Editorial office finanzen.net
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