Apple recently launched a high-yield savings bank account administered by Goldman Sachs, offering 4.15% APY on your savings. While that amount is more than 10 times the national average APY, it\u2019s not the highest rate available in today\u2019s climate. Some accounts earn APYs of 5.00%, and a few are even starting to brush up against 6.00% APY.<\/p>\n\n\n\n
However, Apple Savings could be a convenient way for Apple Card users to make their Daily Cash, (the money earned through Apple\u2019s cashback program) grow in a way it otherwise wouldn\u2019t.<\/p>\n\n\n\n
When you set up Savings, you agree to have future Daily Cash automatically deposited into your account. This allows you to earn interest on the Daily Cash that you get back from Apple Card purchases. You will also earn interest on deposits that you make to Savings from a linked external bank account or from Apple Cash. And, there are no fees or minimum balance requirements.<\/p>\n\n\n\n
You can’t spend money or make purchases in Savings directly through your Apple Card or Apple Pay. If you want to access your funds, you can transfer money from Savings to Apple Cash or to a linked external bank account.<\/p>\n\n\n\n
Only Apple Card Family account owners and co-owners can set up Savings. Savings accounts set up by Apple Card owners and co-owners are separate, individual accounts. Savings does not offer a joint account feature. Apple Card participants aren’t eligible to set up Savings accounts.<\/p>\n\n\n\n
When opening Savings, you’ll be asked if you want to transfer funds from your Apple Cash balance to your new account to start earning interest on that money. If you don’t want to transfer your Apple Cash balance, just tap the Close button. If you want to transfer funds, tap Transfer Your Apple Cash and follow the onscreen instructions.<\/p>\n\n\n\n
If you have any Daily Cash available to redeem as an Apple Card statement credit, that Daily Cash will be transferred to your new Savings account when you set up Savings.<\/p>\n\n\n\n
If your Apple Card account is restricted or locked, you may not be able to open a Savings account. If your Apple Cash or Savings account is restricted or locked, you may not be able to transfer money to or from Savings. To access your funds, you will need to contact a Savings Support Specialist<\/a>.<\/p>\n\n\n\n When you open Savings you agree to automatically deposit Daily Cash that you earn into your Savings account. You can also add money to Savings from a linked external bank account or from Apple Cash.<\/p>\n\n\n\n Money that you deposit into Savings starts earning interest on the day that the transfer is initiated from the Wallet app.<\/p>\n\n\n\n If you transfer money from Apple Cash, the funds are typically available instantly. If you transfer money from a linked external bank account, it will generally take a few days for funds to be available for withdrawal.<\/p>\n\n\n\n Once you have an external bank account linked to your Apple bank account, here’s how you make a withdrawal:<\/p>\n\n\n\n It typically takes one to three business days for the transfer to be completed. Once the money hits your bank account, it’s ready to be withdrawn.<\/p>\n\n\n\n Account owners can also choose to transfer money from the Apple Savings account into Apple Cash, and these transfers are available for use instantly. Apple Cash also has an option to instantly transfer money (for a fee) to a linked debit card. <\/p>\n\n\n\n This is a potential workaround for the waiting period, but is still less convenient than withdrawal methods offered by other high-yield savings accounts.<\/p>\n\n\n\n Interest that you earn is compounded daily and credited to your Savings account monthly.<\/p>\n\n\n\n Apple Savings could be a good fit for Apple Card users. Unlike many other savings accounts, you\u2019ll need to have an Apple Card in order to access this account. Opening an Apple Card could give you access to the savings account. <\/p>\n\n\n\n However, you shouldn\u2019t just get a new card without thinking through the consequences. For example, if you\u2019re applying for a mortgage, it might not be the right time to open a new card. Opening a line of credit can cause your credit score to drop a few points, which could work against you when buying a home.<\/p>\n\n\n\n There is no denying that the Apple bank account is attractive. However, it’s not without flaws. Here are the top perks and what we believe could be improved.<\/p>\n\n\n\n There are a number of high-yield savings accounts on the market. Here\u2019s how Apple\u2019s savings account compares to other high-yield savings accounts. <\/p>\n\n\n\n If you don\u2019t have an Apple Card and don\u2019t have any plans to open one, you won\u2019t have access to this savings account. <\/p>\n\n\n\n However, there are plenty of savings accounts that allow you to manage your money from an app and do not require you to be part of the Apple ecosystem. UFB High Yield Savings<\/a>, for example, offers an interest rate of 5.25% APY and has an app that lets you manage the account available on both the Apple App and the Google Play stores.<\/p>\n\n\n\n Like lots of high-yield savings accounts, Apple Savings doesn\u2019t charge any service fees or charges. Other banks that don\u2019t charge a monthly fee include Newtek Bank\u2019s Personal High Yield Savings and CFG Bank. However, the latter requires a $1,000 minimum deposit.<\/p>\n\n\n\n Simply put, higher APYs are available for those who want to chase the best possible rate. However, many savings accounts have restrictions on how much money can earn the top-tier rate.<\/p>\n\n\n\n Varo\u2019s Savings Account offers 5.00% APY on up to $5,000, and Mango Savings offers 6.00% APY on up to $2,500 in savings. But, not all have limits. For example, Western Alliance Bank offers a high-yield savings account that earns 5.05% APY without a cap.<\/p>\n\n\n\n However, 4.15% APY isn\u2019t something to overlook. With the average savings account earning 0.24% APY according to Bankrate data<\/a>, this could be a significant advantage for those who haven\u2019t considered a high-yield savings account and want to work with a platform they already use.<\/p>\n\n\n\n Apple’s bank account setup is a unique situation because, typically, you don\u2019t have to apply and be approved for a credit card to access a high-yield savings account.<\/p>\n\n\n\n Hence, you should only apply for a credit card if it makes sense for you on its own, and not as a means to some other end. Obviously, Apple is hoping that this savings account will entice some consumers to apply for its credit card.<\/p>\n\n\n\n While the Apple Card is a good card for Apple product users, it fares poorly compared to the best cash-back cards. Other banks, such as Bask Bank or Varo, offer high-yield savings accounts with higher yields than Apple\u2019s, without requiring you to own a specific credit card.<\/p>\n\n\n\nDeposit money into Savings<\/strong><\/span><\/h2>\n\n\n\n
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Withdrawal options<\/strong><\/h2>\n\n\n\n
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How to view your Savings account balance and interest earned<\/strong><\/h2>\n\n\n\n
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Who is the Apple Bank account for?<\/strong><\/h2>\n\n\n\n
Pros and cons of Apple Bank Account<\/strong><\/span><\/h2>\n\n\n\n
Perks<\/strong><\/span><\/h5>\n\n\n\n
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Areas of improvement<\/strong><\/span><\/h5>\n\n\n\n
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How the Apple Bank account stacks up to the competition<\/strong><\/h2>\n\n\n\n
Accessibility<\/strong><\/h3>\n\n\n\n
Fees<\/strong><\/h3>\n\n\n\n
Interest rates<\/strong><\/h3>\n\n\n\n
In conclusion: Is the Apple Bank Account worth it?<\/strong><\/span><\/h2>\n\n\n\n
Recommended Articles <\/strong><\/span><\/h2>\n\n\n\n
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References<\/strong><\/span><\/h2>\n\n\n\n
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