Apple Card Rewards Just Raised APY For Third Time To Hit 4.50%
Benzinga · 01/29 11:07

In a recent development, Apple Inc. (NASDAQ:AAPL) has announced a new increase in the Annual Percentage Yield (APY) for its Apple Card Savings Account.

What Happened: Apple is notifying its Apple Card Savings Account holders about the latest APY increase via push notifications. The APY has been raised to 4.50% from 4.35%, reported MacRumors on Friday.

This marks the third time the APY rate has been raised since December. The initial increase was from 4.15% to 4.25%, followed by another rise from 4.25% to 4.35% in early January.

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Apple’s previous rate increase had already aligned it with the APY offered by several other popular high-yield savings accounts, such as those from American Express and Discover. With the most recent hike, the Apple Savings Account now matches the APY of Marcus by Goldman Sachs.

The Apple Card Savings Account, offered in partnership with Goldman Sachs Group Inc. (NYSE:GS), has been available to U.S. Apple Card holders since April 2023. Users can earn interest on their automatic Daily Cash deposits and personal funds added to the account, with a maximum deposit limit of $250,000.

Why It Matters: This move by Apple comes on the heels of the tech giant’s announcement of exclusive subscription deals for Apple Card users. The company offered up to three months of free subscription to most of its online services, including Apple TV+, Apple Music, Apple Arcade, Apple Fitness+, and Apple News+.

However, it’s not all roses. At the end of the year, Apple also started sending out 1099-INT tax forms to its Apple Card Savings account holders, a reminder that the interest earned on these accounts is taxable.

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Photo by Primakov on Shutterstock

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