10 Benefits of the Apple Card

It offers increased cash back for Apple Pay users, enhanced security and instant rewards with no fees.
Craig Joseph
By Craig Joseph 
Edited by Erin Hurd

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Apple Card
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Although the Apple Card's core value is cash back rewards for Apple Pay users, the juice is sweetened with some additional card holder perks. It doesn't stand out in the orchard among other cash-back credit cards, but with no fees and rewards that post instantly, Apple loyalists may find value in the card.

Here are 10 benefits of the Apple Card.

Cash-back rewards

1. Earn bonus cash back with Apple Pay

Apple Card holders earn 3% cash back on purchases with Apple and at select merchants including Nike, T-Mobile, Exxon, and Walgreens when using Apple Pay. The card earns also 2% back on Apple Pay purchases with non-select merchants and 1% back on purchases made with the physical Apple Card.

Cash back is issued in the form of Daily Cash, which can be redeemed for a statement credit against charges on your Apple Card or deposited to an Apple Cash card or Apple savings account. There are no minimum redemption amounts and your redemption option can be changed at any time.

If you have an Apple Card Family set up with authorized users on your account, each user can set up an Apple Wallet to accrue Daily Cash on their own transactions.

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Non-iOS users can qualify for the Apple Card but won’t be able to download Apple Pay or the Apple Wallet. Without the app, you won’t be able to request a physical card, making the card effectively useless outside of financing a purchase with Apple.

2. Rewards post immediately

Most traditional credit card rewards programs wait until the statement closes to deposit new points or cash back. But the Apple Card is one of a small handful of credit cards that issue instant rewards. After you make a purchase, you’ll receive a push notification on your phone that confirms the amount of Daily Cash deposited into your account.

3. Rewards can earn interest

Cardholders who redeem their Daily Cash to an Apple savings account can earn interest on their rewards (and any other deposits to the account). As of this writing, balances earn 4.15% annual percentage yield (APY). While that rate will fluctuate with the federal funds rate, saving your rewards and earning interest could add a nice multiplier to your balance by the end of the year.

Instant gratification

4. See if you qualify without impacting your credit

Want to apply for the Apple Card but not sure if you’ll qualify? There’s good news — you can submit your information and find out if you’re approved before incurring a hard inquiry on your credit report; a hard inquiry can have a temporary negative impact on your credit score.

The preapproval process will provide the credit limit and interest rate you qualify for. Since there's no hard inquiry, you’ll have all the information you need to accept or decline the offer without dinging your credit. Be aware that you will receive a hard inquiry if you accept the offer.

5. Use your card instantly

Once approved, your new virtual Apple Card will appear in your Apple Wallet for immediate use. You can also request a physical card from the app, but remember, you’ll only earn 1% cash back on purchases made with the physical card.

No fees

6. No annual, late, or foreign transaction fees

The Apple Card lacks many of the fees that turn other cards rotten. With no annual fee, no late payment fees and no foreign transaction fees, you’re covered if you accidentally miss a payment or want to use your card at Apple Pay terminals abroad.

Note that you’ll still incur interest charges for any missed payments. Variable APRs for Apple Card range from 19.24% to 29.49% based on creditworthiness, as of December 2023.

Widespread acceptance

7. Mastercard global payment network

The Apple Card is issued by Goldman Sachs on the Mastercard global payment network. That means you can use your card in almost all locations that accept cards, both domestically and abroad. With acceptance in more than 80 countries, Apple Pay has a solid global footprint. If you're making a transaction internationally, be sure to ask the merchant if they take Apple Pay to avoid having to use your physical card, which earns less cash back.

8. Privacy and security

Apple Pay is designed with security features built in to the hardware and software of your iPhone to help lower occurrences of fraud that may happen with a physical card. In its Apple Pay security overview, Apple says it doesn't retain any transaction information that can be tied back to you (although that doesn’t mean Goldman Sachs or other parties won’t).

The physical card is (heavy) metal

9. Modern style

The physical Apple Card is made of sleek, laser-etched titanium. If you want a physical card, you’ll need to request it through the app. Just remember, no matter how sexy the physical card looks, you’ll only earn 1% cash back when you use it.

No-interest financing on Apple purchases

10. Monthly installment plan

If you're using the Apple Card to buy a new iPhone, iPad, Mac, Apple Watch or other select merchandise directly through Apple, you may qualify for no-interest installment financing. Simply select Apple Card Monthly Installments (ACMI) as the payment type when you check out. Financing terms vary by product, and your total payment will be split evenly each month across the duration of the promotional period. If you pay for your eligible purchase without selecting ACMI as the payment option, your purchase will be subject to the card’s normal credit terms.

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