Apple Credit Card, created by the multinational technology corporation Apple Inc has unveiled an innovative payment method. Apple combines its cutting-edge technologies with financial services to offer its users a simple and safe way to make a purchase. This article covers everything you need to know about the Apple Credit Card review, including its benefits and drawbacks, and guides you in determining whether it’s right for you.
List of Contents
Apple Credit Card: Website
REGULAR APR (%): 15.24% – 26.24% variable
ANNUAL FEE: $0
REWARDS EARNING RATE: Earn 3% cash back at Apple and select Apple to pay partners, 2% on other Apple pay purchases, and 1% on everything else.
FOREIGN TRANSACTION FEE (%): $0
RECOMMENDED CREDIT SCORE: 580-850
The Apple Credit Card is a credit card that Apple offers several unique features and benefits. It is designed to work seamlessly with the Apple ecosystem and can be used to make purchases in-store and online. The card is issued by Goldman Sachs Bank USA and is available to qualified American customers.
The Apple Credit Card is a credit card launched by Apple in 2019 which is the much-hyped new initiative from the technology giant that offers distinctive features and rewards. The Apple Credit Card Family feature enables cardholders to share their cards with immediate or extended family members and build credit jointly. Moreover, the card is compatible with Apple Pay, a digital payment method that pays cash-back benefits on qualified purchases. There are special rewards cards on the market.
Benefit
Special Benefit
- Apple Credit Card’s Special Benefits Get weekly and monthly reports of spending.
- Use Maps to localize your expenditures geographically.
- Easily search purchases by category or vendor.
- Use the interest calculator and intelligent payment features to determine monthly payments.
Standard Benefits
- Due date reminders
- Real-time fraud security
- Customer support assistance via chat
Pros & Cons
Pros
✔ J.D. Power customer satisfaction scores are the highest.
✔ Excellent average NCQA plan rating
✔ Members have access to complimentary mental health resources.
Cons
✘ Plans are marketed in eight states and the District of Columbia.
✘ Limited plan types
Pros Clarified
- Provides a competitive to high rate of cash incentives: Apple offers “Daily Cash” on Apple Card transactions. Your profits are determined by what you purchase and how you pay (i.e., the physical card or Apple Pay). The three levels of cash-back benefits are comparable to those of other cash-back credit cards. Thus, your Apple credit card earns daily cash back on Apple purchases.
- No Annual fees: Many card companies are reducing fees, but Apple Card has not reduced fees, such as annual fees or penalties for customers who are late or go over the credit limit, including foreign transactions or currency exchange.
- Includes integration with Apple Pay: Apple Card is intended for use with the Apple Pay mobile payment app. The card resides in the Wallet application on your mobile device. You may sign in to use it with Apple Pay for online and in-store purchases. This makes it an extremely convenient card for using Apple Pay to make transactions.
- It allows paying in installments for Apple goods: Another option allows most Apple products to be paid in installments without interest. Cardholders can choose Apple Card Monthly Installments when shopping in Apple Stores on Apple.com. Moreover, the Apple Store app receives low monthly payments with no interest included.
Cons Clarified
- The rewards rate is minimal if Apple Pay is not used: Not all merchants now accept Apple Pay. That doesn’t mean you can’t use your Apple Card at these businesses; it only means you’ll earn the lowest amount of cash back, 1% Daily Cash, on your purchases.
- It needs to work with an iPhone: You can only use the Apple Card if you possess a modern iPhone. Specifically, an iPhone running iOS 15.1.1 or later is required to function. This is restrictive for Android and iPhone users with outdated devices that cannot be updated.
- Apple Cash is required to redeem prizes: Apple offers multiple redemption options for Daily Cash incentives. You must have an Apple Cash Card account to redeem for anything besides statement credit. It is easy to configure this via the Wallet app. However, it is crucial to note that an additional step is required.
Rewards Earning
Every time they spend, cardholders earn Daily Cash rewards. There are 3 possible levels of rewards:
- 3% Daily Cash: Applicable to Apple Store, Apple.com, App Store, and iTunes purchases, members also get 3% Daily Cash when they use Apple Pay at Walgreens, Panera Bread, Exxon Mobile, Nike, and T-Mobile stores.
- 2% Daily Cash: Applicable to all Apple Pay transactions across all categories.
- 1% Daily Cash: Applicable to purchases using methods other than Apple Pay.
Daily Cash is credited to your Apple Cash Card in the Wallet app whenever you earn it. There are no restrictions on how much Daily Cash you can make or where you can earn cash rewards. As you can see, though, you will gain the most reward points while shopping at Apple or using Apple Pay.
Rewards Redemption
When Daily Cash is added to your Apple Cash Card, you can use it however you want. For example, you could:
- Purchase items in-store, online, or via the app.
- Make a payment on the amount on your Apple Card.
- Send cash rewards to a linked financial institution.
- Give money to keep in contact through SMS.
Any Apple device, including your iPhone, iPad, Apple Watch, or Macbook, can be used to earn rewards. You only need to tap your Apple Cash Card in the Wallet app to see how much money is available for redemption. You can quickly see how much Daily Cash you have accumulated.
However, remember that you may only redeem cash rewards as a statement credit against your Apple Card balance if you have the Apple Cash Card.
Maximizing Rewards
The key to maximizing rewards on the Apple Card is judicious spending. Initially, you should use the card to pay for any Apple purchases you intend to make, including recurring subscription services. This will earn you the enticing Daily Cash reward rate of 3%.
Moreover, you may continue earning 3% Daily Cash by using your card at the mentioned small list of merchant partners. If you spend $20 daily on petrol from Exxon Mobile or products from Walgreens, you might pocket $219 a year.
Using your card with Apple Pay elsewhere is the third option to optimize your benefits, earning you 2% cash back.
Nevertheless, you should avoid using this card at retailers or websites that do not support Apple Pay. If you frequently shop at a gourmet food store in your area that does not accept mobile payments, you may be better off with a card that offers 2% or 3% cash back at supermarkets.
Cardholder Experience
In the 2021 Credit Card Satisfaction Study for Midsize Issuers conducted by J.D. Power, this card ranked at the top. The research looked at the card’s features and services, how it communicates, the terms of the credit card, how it works with other things, and what it offers as an incentive.
This card is meant to make spending and account management as fluid and simple as possible for cardholders. You must launch the Wallet app and tap to move through its many menus.
To determine where you spend the most of your monthly budget, you may browse your purchases by category or vendor. You may also generate weekly and monthly spending reports that are easy to read. Payments are always due on the month’s final day, and Apple sends automated payment reminders to ensure you remember.
Security Features
Apple Card includes various security measures, including real-time protection against fraud. This card has the same security features as Apple Pay, including a unique device number locked in your Secure Element, access via Face ID and Touch ID, and tokenization of your transactions. For further protection, the Apple Credit Card, which you must use at establishments that do not support Apple Pay, does not include your card information or CVV number. If your card is lost or stolen, you may quickly freeze it using the Wallet application.
Is the Apple Card Worth It?
The Apple Card is a new product. Apple may continue to modify the card beyond its first release. If you often use Apple Pay and want a cashback card with no annual fee, the Apple Credit Card is for you. Apple purchases and a few partner retailers that provide 3% cash back give the most rewards. The 2% cash back rewards rate Apple Pay offers is respectable, although some cards provide more significant cash returns.
However, there is no annual charge, and the card can help you pay down balances to lower interest expenses, saving you money.
The Apple Card may not be the best option for earning airline miles, hotel points, or rental car points. It has yet to establish partnerships with the travel industry (at least, not yet). Even if the Apple Credit Card does not charge currency conversion or overseas transaction fees, regular travelers may profit from a card that does.
Apple Pay might be this card’s worst detriment. The leading mobile payment platform is not universally accessible. Then, you may use the genuine Apple Credit Card and earn 1% cashback.
Conclusion
The Apple Credit Card is a one-of-a-kind credit card with numerous benefits and features. It is issued by Goldman Sachs Bank USA and is optimized for use within the Apple ecosystem. Users can enjoy cashback rewards on purchases, a mobile app that is simple to use, and a more secure credit card experience. Apple Card Family and Apple Card Monthly Installments make things easier and more flexible for users. Customers can read about Apple Credit Card reviews before choosing the right card for their lifestyle.
FAQs
The Apple Credit Card is a credit card that Apple offers several unique features and benefits. It is designed to work seamlessly with the Apple ecosystem and can be used to make purchases in-store and online. The card is issued by Goldman Sachs Bank USA and is available to qualify American customers.
The Apple Credit Card provides users with various benefits, such as cashback rewards on purchases, no annual fees, and a mobile app that facilitates the card’s management. In addition, the card is designed to be more secure than traditional credit cards, with features such as unique card numbers for each transaction and the ability to freeze your card if it is lost or stolen rapidly. However, the customer needs to learn about the Apple Credit Card information and review it before deciding.
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Source: Investopedia