Apple has announced a new high-yield savings product for its Apple Card users. In the coming months, the tech giant will launch its Savings account with Goldman Sachs, allowing credit card holders to stash their Daily Cash rewards in an account with a high yield. Users will also be able to add more cash to the account through a linked bank account.
Key Takeaways
- Apple has announced a new high-yield Savings account in partnership with Goldman Sachs.
- The Savings account will only be available to Apple Card users, who can automatically deposit their Daily Cash into the account and earn interest.
- Users will also be able to link a bank account and transfer more money into their Savings account.
Apple Expands its Financial Services Approach With High-Yield Savings
In the coming months, Apple Card users will be able to open a high-yield savings account from their iPhone and have their Daily Cash rewards deposited into it. Once they set up the account, cardholders will have their cash back automatically deposited into the Savings account, though they can switch back to having their rewards added to an Apple Cash card in their wallet.
Additionally, Apple Card users will be able to link an external bank account and transfer additional cash to their Savings account to take advantage of its high yield. The account will have no fees, no minimum upfront deposit, and no minimum balance requirement.
Apple hasn’t yet specified what the annual percentage yield (APY) on the account will be but says that it will be competitive with the best rates available.
High-yield savings accounts have become more attractive in recent months as the Federal Reserve has continued to increase its federal funds rate. As of October 2022, many of the top high-yield savings accounts are offering APYs upwards of 2% and even 3%, rates American consumers haven’t seen since 2009.
Goldman Sachs, which will provide the Savings account for Apple Card users, is currently offering an APY of 2.35%.