On Monday, Apple announced the launch of Apple Cards Savings accounts. It is a new feature offering customers a high-yield savings account with a competitive 4.15% interest rate. The move comes as a part of the company’s continued expansion into the financial services industry. As such, it represents a significant step towards becoming a full-fledged digital bank.
The New Savings Account will be FDIC Insured
The Apple Cards Savings account will be accessible through the Apple Wallet app, available on all Apple devices. As such, users can easily sign up for the account through the app, which will direct them to an existing bank account to transfer funds.
The account will be Federal Deposit Insurance Corporation (FDIC) insured. Additionally, there will be no fees or minimum balance requirements.
“We are thrilled to offer our customers a new way to save and earn money,” said Jennifer Bailey, Vice President of Apple Pay. “With our high-interest rate and no fees, we believe that Apple Cards Savings counts will quickly become a popular choice for consumers who want to get more out of their savings.”
A current low-interest rate environment surrounds the financial industry. With this, many consumers are searching for alternative means to return their savings. As such, the company’s decision to enter the high-yield savings account is not surprising. With such higher rates, The company hopes to attract customers looking for a better return on their money.
Besides the high-interest rate, the Savings accounts will also offer a variety of features. These characteristics will make it easy for customers to save and manage their money. Users can also set up automatic transfers to their savings accounts, enabling them to track their progress toward their savings goals.
Way Forward for Apple Inc.?
The introduction of this Savings account is just the latest move by Apple to expand its presence in financial services. However, in 2019, the company launched its own credit card which was integrated into its Wallet app.
With the launch of these accounts, the company looks forward to further solidifying its position as a major player in financial services.
The Savings accounts will be available for US customers, with plans to expand to other countries.