Introduction to the Apple Card
Business Insider's personal finance experts compared the Apple Card to the best credit cards for online shopping, and found it lacking because its rewards and redemptions are limited compared against many of the best rewards credit cards on the market.
The Apple Card, issued by Goldman Sachs, is an interesting option for Apple loyalists, though.
This popular store credit card earns up to 3% cash back, charges zero fees, and offers unique features you won't find on other cards. It also offers a slightly lower APR than many other store credit cards. But some consumers may be turned off by the card's lack of a welcome bonus, as well as its reliance on Apple Pay for earning the most rewards.
$0
15.99% - 26.99% Variable
No Credit History
Pros
Cons
The Apple Card, issued by Goldman Sachs, is an interesting option for Apple loyalists, earning up to 3% cash back and offering unique features you won't find on other cards. But its lack of welcome bonus and reliance on using Apple Pay to earn the most rewards may be a turnoff for some.
Apple Card- Earn 3% cash back when you use your Apple Card to shop at Apple and select merchants (including Nike, Uber, and Walgreens)
- Earn 2% back when you pay for purchases with Apple Pay
- Earn 1% back on other purchases when you use your physical card or pay online using your card number instead of Apple Pay
- 0% APR installment financing on select Apple purchases
- No annual fee, over-the-limit fee, foreign transaction fees, or late fees
- Apple Card Family allows up to 5 members of your household to be authorized users on your account
Apple Card Overview: What Is the Apple Card?
Apple is well known for its innovative technology, so it's no surprise that the Apple Card is equally unique in the credit card space. In fact, it's not even a physical card, unless you want it to be: One of the card's main selling points is its convenient digital interface that lives right on your iPhone in the Apple Wallet app.
Bonus Rewards for Using iPhone and Apple Pay
This brings us to a big limitation: Unless you have an iPhone, there's really no reason to consider the Apple Card. That's because you'll need to use the card with Apple Pay to earn a high rate of cash back. While the laser-etched physical card you can request is definitely cool, you'll only earn 1% cash back when you swipe it — a poor rate of return, considering many competing credit cards earn 2% cash back everywhere.
But if you do have an iPhone (or use Apple Pay online or via an Apple Watch), the Apple Card is a compelling option. When you use the card with Apple Pay, you'll earn 3% cash back on purchases made from Apple and at select merchants, including Uber, Exxon Mobil, and Walgreens, and 2% cash back on all other Apple Pay transactions. Any other purchases made with the physical card earn 1% cash back.
Earn Daily Cash with the Apple Card
The Apple Card actually earns cash, in real time. "Daily Cash" is Apple's version of cash back, and you'll earn it on every transaction and see it in your Apple Cash balance each day. From there, you can spend it on purchases using Apple Pay, apply it as a credit toward your card balance, invest it in a linked Apple high-yield savings account, or pay a friend who also uses Apple Cash.
The card comes packed with other nifty features, including color-coded spending categories, an integration with Apple Maps to see where you spent money, a slider tool that shows you how much interest you'll be charged based on your payment amount, and the ability to share the card with others through Apple Card Family.
No Fees (Really)
Plus, there are no fees to worry about: no annual fee, late fees, or foreign transaction fees. While there are plenty of great no-annual-fee credit cards on the market, the complete lack of fees on the Apple Card makes it stand out.
Apple Card Rewards
Welcome Bonus
The Apple Card doesn't offer a welcome bonus, which is unusual for a rewards credit card, even one without an annual fee. This, combined with the requirement to use the card with Apple Pay to earn competitive cash back, makes the card much less appealing.
Earning Rewards With the Apple Card
You'll earn the most rewards from the Apple Card when you use it with Apple Pay (on your iPhone, with an Apple Watch, or online). Otherwise, if you use the physical card, you'll earn 1% cash back.
Apple Pay Bonus Merchants
Using the card with Apple Pay, cardholders earn:
- 3% Daily Cash back on purchases from Apple including merchandise, accessories, App Store purchases, and services like Apple Music and Apple TV+
- 3% Daily Cash back at Ace Hardware, Duane Reade, Exxon, Mobil, Nike, Panera Bread, T-Mobile, Uber, Uber Eats, and Walgreens
- 2% Daily Cash back on all other purchases made using the card with Apple Pay
Apple Pay is accepted by 85% of U.S. merchants, but you might have trouble using this payment method at smaller stores, or even certain large ones such as Walmart and Home Depot. One upside to Apple Pay is its safety and security; you don't need to touch anything to use it, and transactions require unlocking your Apple Wallet using Face ID or your passcode.
There are a few restrictions to keep in mind with some of the participating 3% merchants:
Ace Hardware
3% Daily Cash is available in the U.S. when using the Apple Card with Apple Pay online, in the mobile app, and at participating stores listed at acehardware.com/applecard (excludes online and mobile app gift card purchases and purchases from third-party merchants using independent point-of-sale systems within a participating Ace Hardware store).
Exxon/Mobil
3% Daily Cash is available in the US when using the Apple Card with Apple Pay (where available) at Exxon- or Mobil-branded pumps and attached convenience stores; you can pay at the pump with Apple Pay by using the Exxon Mobil Rewards+ mobile app or contactless payment (excludes purchases at third-party merchants, including independent car washes, located within an Exxon- or Mobil-branded location or the attached convenience store).
Nike
3% Daily Cash is not available at Nike-branded stores outside the U.S.
Panera Bread
3% Daily Cash is not available at Panera locations outside the U.S., and excludes orders made on third-party apps, plastic gift card purchases made online, and gift cards purchased through the Bulk Gift Card program.
T-Mobile
3% Daily Cash is available in T‑Mobile U.S. stores, and bill payments and AutoPay on t‑mobile.com and in the T‑mobile app (authorized T‑Mobile dealers, Sprint account payments, and purchases made through any Sprint checkout, including those at T‑Mobile U.S. stores, are not eligible).
Walgreens
3% Daily Cash is unavailable at Sprint Express and independent health service providers, including Walgreens Optical and Walgreens Hearing, or for orders made on third‑party delivery apps.
Redeeming Rewards With the Apple Card
The Apple Card has a big advantage when it comes to easily redeeming rewards. As the name implies, Daily Cash is deposited to your Apple Cash account every day, and is available for you to use immediately. Few, if any, of the best credit cards offer this feature; in most cases, you'll have to wait until your billing cycle closes to receive and redeem your rewards.
Daily Cash from your Apple Card is deposited to your Apple Cash card in your Apple Wallet account. From there, you can use it just like cash to buy merchandise, pay down your credit card balance, or pay friends back if they also have an Apple Cash account set up.
Alternatively, cardholders can open a Apple Savings Account account, which pays 3.65% APY (Average Percentage Yield) — a competitive rate of return. Your Daily Cash will be deposited to your Apple Savings account once it's set up.
Apple Card Benefits and Features
Unlike many top rewards credit cards, the Apple Card doesn't offer perks like purchase protection, extended warranty, travel insurance, or cell phone protection. That said, it does offer useful benefits that can help you save money on interest and streamline your finances.
Physical Apple Card
You don't need to use your physical Apple Card to reap the benefits. In fact, the actual card only earns 1% cash back, so you'll probably want to using it this way. But if you do decide to carry the card itself, it's quite aesthetically pleasing.
The physical Apple Card is a titanium metal credit card with your name laser etched on the front. It has a chip, but doesn't have a card number or CVV printed on the back. If you need your actual card number — say, for an online purchase not using Apple Pay — you'll find it under the card/number icon in your Apple Wallet when you select your Apple Card.
Simple Credit Card Application Process and Ease of Use
To apply for the Apple Card, you can simply open the Apple Wallet app and press the "+" icon. Once you're approved, you can start using your card through Apple Pay immediately, and if you wish, you can also request a physical card in the mail.
Track Spending and Save on Interest
Apple claims to help users with their financial health by making it easy to see how much they spend or save. The Apple Wallet app allows you to see your transactions, spending totals, and even where you've spent money.
Another neat feature is Apple's payment calculator, which also lives in the Wallet app. When you're ready to make a payment, a sliding tool helps you see how much interest you'd pay based on the payment amount you choose, instead of just listing the minimum payment due.
Apple Savings
The best high-yield savings accounts right now pay a higher interest rate than regular savings accounts, and Apple Savings Account for Apple Card customers is no exception. This account currently offers 3.65% APY, which is competitive with popular national brand high-yield savings accounts like SoFi Checking and Savings, Discover Online Savings, and Capital One 360 Performance Savings.
Choosing to deposit the Daily Cash earned from your Apple Card to Apple Savings Account is effortless, which is great if you don't already have automated transfers to a high-yield savings account set up. You can also transfer more funds to Apple Savings Account from your Apple Cash balance, from the bank account linked to your Apple Card, or from a different bank account.
Family Sharing on the Apple Card
Apple allows you to share your card with one co-owner and up to four other participants in a single account. Co-owners must be 18 or over and can manage and share responsibility for the account, and equally build credit history. Participants ages 18 and up can also build credit history, and those between the ages of 13 to 17 can spend within limits and earn daily cash.
Apple Card Zero-Interest Plans on Select Apple Products
Apple Card cardholders can set up interest-free monthly installments when they use the card for eligible purchases from Apple.com, the Apple Store, or the Apple Store App. To set up a payment plan, choose Apple Card Monthly Installments as your payment method at checkout.
Depending on the product you buy (there's a list of eligible items here), you'll get a 0% APR for six, 12, or 24 months with one installment due each month. This is a handy feature if you're the type of person who always wants the latest iPhone or AirPods.
But keep in mind there are plenty of zero-interest credit cards that offer an intro 0% APR on all new purchases for up to 21 months.
Apple Card Annual Fee and Other Costs
No Annual Fee
The Apple Card doesn't charge fees for anything, which is a refreshing change from most other rewards cards. You won't pay an annual fee, foreign transaction fees, late payment fees, or over-limit fees.
APR
Cardholders will, however, pay interest if they carry a balance (currently an APR of 15.99% - 26.99% Variable). But you can avoid interest by paying your card balance in full each month. If that's not possible, using the interest calculator tool in the Wallet app can help you make better-informed decisions about payment amounts.
Compare the Apple Card
The Apple Card is cool and flashy, but it's rarely the best card to use for most purchases. The cards we review below offer more consistent benefits, meriting comparison as you evaluate your card options.
We've closely compared the Wells Fargo Active Cash® Card, which earns 2% cash rewards on purchases and comes with a welcome offer of a $200 cash rewards bonus after spending $500 in purchases in the first three months from account opening.
Or, if you already use Apple Pay, consider the U.S. Bank Altitude® Reserve Visa Infinite® Card , which earns 3 points per dollar for all mobile wallet purchases, worth up to 4.5% back toward travel. The card also offers a generous welcome bonus: 50,000 points after you spend $4,500 on purchases in the first 90 days of account opening.
Apple Card vs. Wells Fargo Active Cash® Card
The Wells Fargo Active Cash® Card is a flat-rate cash-back card that earns 2% cash rewards on all purchases. This $0-annual-fee card comes with a 0% intro APR on purchases and qualifying balance transfers for 12 months from account opening (then a 19.24%, 24.24%, or 29.24% variable APR).
Wells Fargo offers many of the best credit cards with complimentary cellphone protection across this industry, and the Wells Fargo Active Cash® Card is no exception. This card comes with up to $600 per eligible claim after a $25 deductible. It also offers access to the Visa Signature® concierge, roadside dispatch, travel, and emergency assistance services, emergency cash disbursement and card replacement, and the ability to book hotels under the Visa Signature Hotel Collection.
Read more about this card in our Wells Fargo Active Cash card review.
Apple Card vs. U.S. Bank Altitude® Reserve Visa Infinite® Card
If you're serious about tech gadgets, travel, or dining out, consider getting the U.S. Bank Altitude® Reserve Visa Infinite® Card.
While the steep annual fee of $400 can be a deterrent, people who spend at least $325 a year on dining or travel can easily recoup this cost because the card comes with a $325 annual statement credit toward these two popular categories of spend.
The card also comes with a nice welcome bonus for new cardholders: 50,000 points after you spend $4,500 on purchases in the first 90 days of account opening. You'll also earn rewards quickly if you frequently use Apple Pay — far more quickly than you would on the Apple Card, in many cases. This card earns 3% cash back on mobile wallet spending and eligible travel, plus 5% on hotels and car rentals booked through the U.S. Bank Altitude Rewards Center and 1% on everything else.
Read more about this card in our U.S. Bank Altitude Reserve review.
Apple Card vs. Citi® Double Cash Card
The Citi® Double Cash Card is another great $0-annual-fee credit card to consider. This card offers 1 point per dollar in the form of 1% cash back when you make a purchase, followed by another 1 point per dollar (1% cash back) when you pay off the purchase.
New cardholders are eligible for a welcome bonus of $200 cash back, fulfilled as 20,000 ThankYou® Points, after spending $1,500 on purchases in the first six months of account opening. They'll also have access to one of the longest zero-interest periods available on a new credit card: 0% intro APR on balance transfers for 18 months, then a 18.24% - 28.24% Variable APR.
Unfortunately, the Citi® Double Cash Card is relatively light on benefits beyond its 2% cash back rewards rate and the long intro APR.
Read more about this card in our Citi Double Cash card review.
Apple Card Consumer Insights
In addition to compiling expert research for this Apple Card review, Business Insider's team of personal finance experts scanned online forums such as Reddit and Facebook to see what everyday cardholders have to say about this card.
Apple Wallet Integration
In a Reddit thread titled, "Why do you choose the Apple Card?", many cardholders touted the streamlined Apple Wallet integration and sleek spending interface as their primary reasons for using the card. One cardholder said this card "is a terrible rewards card with the worst customer service and fraud protections, but nothing compares to its simplicity and usefulness in the Wallet app and widgets on iPhone."
Generous Rewards if Paired with Apple Wallet
Apple fans recommend stacking the Apple Card with the Apple Savings Account for simple rewards that immediately begin earning interest at a high rate of return.
Apple Credit Card Frequently Asked Questions
What is the Apple Card?
The Apple Card is a credit card by Apple Inc. that offers Daily Cash rewards and a seamless integration with Apple Pay and Apple Savings Account.
How do you earn rewards with the Apple Card?
Apple Card cardholders earn Daily Cash on every purchase, with higher rewards for purchases made directly via Apple Pay and with select merchants.
What are the Apple Card's benefits?
The Apple Card's benefits include no fees, enhanced privacy and security, and seamless integration with Apple services.
Does the Apple Card have any fees?
No, the Apple Card does not charge any annual fees, foreign transaction fees, or late fees.
Who is the Apple Card best for?
The Apple Card is best suited for Apple users who frequently use Apple Pay and want to earn Daily Cash rewards.
Is Apple Card worth it?
The Apple Card is worth it if you're an iPhone user who frequently buys Apple products or shops at participating merchants that earn 3% Daily Cash back. But if you don't usually shop at these merchants, or frequent stores that don't accept Apple Pay, the Apple Card is probably not for you.
How do I activate Apple Card?
When you apply for the Apple Card through the Wallet app and get approved, your virtual card is immediately active and ready to use through Apple Pay. However, if you request a physical card through the mail, you'll just need to hold your phone close to its packaging when you receive it. Your phone will automatically activate the card.
How do I apply for Apple Card?
The easiest way to apply for Apple Card is through the Wallet app on your iPhone. However, you can also apply online by signing in with your Apple ID and providing the required details that way.
How do I pay my Apple Card bill?
To make a payment on your Apple Card, you'll first need to link a bank account in your Apple Wallet or by signing in at card.apple.com. Then you can make a payment through either platform. You can also make payments from your Apple Cash card balance.
Is Apple Card a credit card?
Yes, the Apple Card is a credit card. It's issued by Goldman Sachs and operates on the Mastercard network.
Where do I find my Apple Card number?
If you need your credit card number, you'll find it in your Apple Wallet when you select your Apple Card, in the top menu with the little credit card and number icon. The card number isn't printed on your Apple Card, which makes it even more secure.
Why You Should Trust Us: How We Reviewed the Apple Card
Business Insider's credit card team reviewed the Apple Card in comparison to similar no-annual-fee cash-back cards and to cards from stores that stock Apple products (like Amazon and Costco). We evaluated several factors, including:
- Ease of use — Does the card make it easy to earn and redeem rewards? Are there hoops to jump through, useful bonus categories, spending caps, or other restrictions?
- Earning potential — Is there a welcome bonus, and is it competitive with similar cards? Are the card's earning rates as good or better than cards in the same category?
- Benefits — Does the card offer useful benefits that save cardholders money, time, or effort? Are there perks that are unique to the card?
- Fees — Is there an annual fee, or other charges like foreign transaction fees and late fees? Does the card charge a high APR when you carry a balance?
Read more about how we rate credit cards at Business Insider for a deeper dive into our methodology.
Editorial Note: Any opinions, analyses, reviews, or recommendations expressed in this article are the author’s alone, and have not been reviewed, approved, or otherwise endorsed by any card issuer. Read our editorial standards.
Please note: While the offers mentioned above are accurate at the time of publication, they're subject to change at any time and may have changed, or may no longer be available.
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