Following rumors that the high-yield Daily Cash savings account announced last year would finally be launched, Apple has announced that the new Apple Card feature will be available to all users starting today. The account, which is offered in partnership with Goldman Sachs, will have an impressive annualized return (APY) of 4.15 percent.
The savings account is created and opened through the Daily VCash section of the Apple Card in the Wallet app. All daily money earned is automatically deposited into savings and users can also deposit funds from a linked bank account. The daily cash destination can be changed by the user at any time and there is no limit to the money earned, but according to the accounts available online, the maximum balance allowed is $250,000.
Users can request savings account information (such as balance, transaction history, APY) through the Savings Dashboard in the Wallet app. There are no fees, no minimum deposits and no minimum balance requirements. Funds can be withdrawn at any time, via wire transfer to a linked bank account or wire transfer to Apple Cash
“Savings helps our users get even more value from their favorite Apple Card benefit – Daily Cash – while providing them with an easy way to save money every day,” said Jennifer Bailey, vice president of Apple Pay and Apple Wallet, in a press release. “Our goal is to build tools that help users live healthier financial lives, and by building Apple Card savings into Wallet, they can spend, send and save Daily Cash directly and seamlessly – all from one place.”
High-interest savings accounts are becoming increasingly popular and offer much higher interest rates than standard savings accounts. Apple’s rate is 10 times the national average of 0.37 percent, but in line with other high-yield savings accounts. Fees from other institutions range from 3 percent to 4.25 percent and above, but there may be restrictions that the account holder must adhere to, such as maintaining a minimum balance or limits on withdrawals. Apple Savings doesn’t have many of these restrictions.
Apple Savings is the company’s newest financial service. In March, Apple launched the Apple Pay Later program in the US, a service that splits the cost of a purchase into four equal payments. Interest or fees will not be charged unless a payment is overdue.