Apple Card holders can avail 1 percent cash back on all purchases, 2 percent on purchases made through phone, and 3 percent on purchase of Apple products.
Apple announced the launch of its credit card in collaboration with Goldman Sachs Group. The tech giant outlined that this credit card can be utilized for earning cashback on buying Apple products. Jennifer Bailey, the Vice President of Apple Pay, said that the Apple Card will sync with users’ Apple Wallet and it would be used through Apple Pay, Apple’s own payment system. In addition, the Cupertino-headquartered firm also announced an online gaming service and a streaming television service.
Commenting on the launch of Apple Card, the company highlighted that cardholders can avail 1 percent cash back on all purchases, 2 percent on purchases made through phone, and 3 percent on purchase of Apple products. The cash backs will be paid in the wallet on the daily basis and there will be no annual, international, and late fees on the card.
The card will be manufactured with titanium and there will be name of a user etched with laser. However, there will be no name of users. Goldman Sachs Group will issue the card and Mastercard Inc. Network will be used. The card would contain new features that can be availed through the Apple Wallet. Users can also track the monthly transactions. Furthermore, there will be features such as calculator, displaying how much interest a customer can incur through payment of balance over time.
Apple stated that Goldman will not share the customer data with the third parties for marketing or any other purposes. There will be privacy features in the card and the company will not gain information about the cost of items purchased or the location of purchase.
The analysts outlined that the benefits coming with the credit card are not better as compared to its competitors. The reward programs are closely similar to the benefits offered by leading market players. The benefits offered by Citigroup Inc with Double Cash Card are more attractive than the Apple Card. Nearly 70 percent of the U.S. merchants accept Apple Pay. In addition, it will be available in nearly 40 countries by the end of 2019.
There are similar cash back benefits offered by other market players, but this card would provide convenience to customers who buy a lot of Apple products. Though the benefits offered by the card would not differentiate Apple in the industry, the huge customer base of the tech giant can help it become a leading market player. The tech giant has not revealed anything about the budgeting tool that would include cash and credit balances from other accounts. It has not revealed if there will be a sign-up bonus. The card is customer-friendly, and it will be interesting to see how customers will avail the benefits and utilize the card on daily basis. As per the benefits offered by the company, there seems nothing that would make the card stand apart, except its huge consumer base.