Every time Apple releases a new product it’s a big deal, and the Apple Card recently released is no exception. While the bonus categories and (or lack of) sign-up rewards — two of the most important things I consider when looking at a new credit card — aren’t all that exciting,this is one of the most creative product releases I’ve seen in recent memory and the Apple Product has the potential to alter fundamentally the way this industry works.
This all happens on your smartphone.
Let’s start with the basics: Apple Card is built to be a largely digital experience, with purchases, notifications about promotions, and payment alerts to all those who rely on your iPhone in the Wallet app.
Every purchase will get you cash back.
Although Apple does sadly not give new customers any sort of sign-up bonus, Apple Card holders does receive 3 percent back on Apple
purchases (including all services such as Apple Music), 2 percent on all Apple Pay transactions, and 1 percent cash back on physical card purchases.
Apple is committed to no payments.
The card brings the idea of “no charge” to a whole new level: There are not only no annual fees or international transaction fees to think about, but there are also no late payment penalties or penalties to reach your credit cap. Many card issuers will likely take note of this and follow suit. Although we just haven’t got a hard number yet, Apple also said it aims to deliver lower interest rates than its rivals. (Note: A “low” interest rate will probably still surpass 10%, so there’s no reason for keeping a balance on this card, and paying off your balance in full is my number one recommendation for using reward cards responsibly.)
Unfortunately there is no cover for purchases.
It is also important to remember that this card does not come with purchase cover, so you should consider placing on your Amex or other card expensive new Apple hardware, even though you receive less rewards.
Daily Cash is immediately brilliant.
The incentive multipliers for the Apple Card are not industry-leading but the way the rewards are handled is. Apple is launching something called Daily Cash to manage those 3 per cent, 2 per cent, and 1 per cent purchase bonuses. No longer waiting for your bonuses to come in before the end of the month — your Daily Cash balance will be added to your account the same day you make your transactions.
And, yes, there’s a physical card.
And of course this would not be Apple to complement the updated apps without a stylish and eye-catching physical product. New applicants will receive a sleek titanium card with just your name, a chip and a stripe on the mag. No card number or CVV will be printed on the card itself providing an extra layer of protection. (You can access the information via your wallet app at any time.)