Thursday, October 13, 2022

Apple Card Savings Account

Apple (MacRumors):

In the coming months, Apple Card users will be able to open the new high-yield Savings account and have their Daily Cash automatically deposited into it — with no fees, no minimum deposits, and no minimum balance requirements.


To expand Savings even further, users can also deposit additional funds into their Savings account through a linked bank account, or from their Apple Cash balance. Users can also withdraw funds at any time by transferring them to a linked bank account or to their Apple Cash card, with no fees.

This is kind of a strange announcement:

Why announce this now when they don’t even know which month it will be available?

Why are they touting the main benefit as being able to earn 2–3% interest on the 2–3% rewards from Apple Card?

Is this a real Goldman Sachs bank account, e.g. that you could write checks from or set up for ACH, or does it only work with the Wallet app?

If you don’t sign up for the featured account, it sounds like you still have to manually transfer Apple Cash to your bank, which is a pain. Unless you do so regularly, so that Apple Cash stays empty, it’s harder to reconcile payments that you receive. When you initiate a withdrawal, it will auto-fill the sum of the payment and whatever Daily Cash you had accumulated. Transferring that means that the amount received on your bank statement won’t match the amount of the payment. To transfer the proper amount, you have to remember and retype the amount of the payment—because you can’t see both on screen at once, and neither the transaction screen nor the transfer screen supports copy/paste.

Update (2022-10-27): Juli Clover:

With no sign of the feature in iOS 16.1, it will now be coming at a later date.

Update (2022-12-29): Avi Drissman:

If you have an Apple Card but not Apple Cash, the ability to apply your Daily Cash to your balance was deliberately removed from the Wallet app, and you have to do it on the website or contact support. Super sketchy way for Apple to increase Apple Cash float revenue.

Update (2023-01-27): Avi Drissman:

Upgraded to iOS 16.3, and the Wallet app’s Apple Card section is updated, and applying Daily Cash to your Apple Card via the Wallet app is back.

I’m getting whiplash having my financial instruments behave like software, losing and gaining features.

5 Comments RSS · Twitter

Kevin Schumacher

> Why are they touting the main benefit as being able to earn 2–3% interest on the 2–3% rewards from Apple Card?

2 to 3% is a high-yield savings account. The point of a savings account is to earn interest, so that is basically the only selling point (other than it being "Apple"). I think they're trying to position the Daily Cash auto-deposit as it being like a sweep account that helps you save without even thinking about it.

@Kevin Yeah, I mean I think the auto-sweep is more interesting than the high yield, which you can get elsewhere. But that makes for a messy statement with so many little transactions. I thought the original point of it being daily was that they wanted to encourage you to keep it in Apple Cash and spend it on media or apps. For saving, it would make sense to give you a single monthly deposit or something.

They say that your Daily Cash will be auto-deposited (note capitals) not that your cash will be deposited daily. I wonder if that’s an important distinction with regard to creating a messier statement.

This might be a way to get my Daily Cash that I’ve accumulated (about $150) that’s locked away because my Apple Cash is restricted for some reason and I can’t apply it directly to the balance online for some reason (Apple support has been useless and I’ve been rather lazy trying to get them to give me my money)

@Linus I’m surprised to hear of your experience with Apple support. My own experiences have been very easy and positive. This seems to be borne out in broader reports ( though I admit I can’t speak to the accuracy of such reports.

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