Apple Card Rewards Just Raised APY For Third Time To Hit 4.50%
Portfolio Pulse from Benzinga Neuro
Apple Inc. (AAPL) has increased the APY for its Apple Card Savings Account to 4.50%, up from 4.35%. This is the third hike since December, with previous rates at 4.15% and 4.25%. The account, in partnership with Goldman Sachs (GS), allows users to earn interest on deposits up to $250,000. The rate now matches that of Marcus by Goldman Sachs. Apple also offers exclusive subscription deals for Apple Card users but reminds them that interest is taxable with 1099-INT forms.
January 29, 2024 | 11:07 am
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POSITIVE IMPACT
Apple's APY increase for its Apple Card Savings Account to 4.50% may attract more customers, potentially impacting revenue positively.
The APY increase is likely to make the Apple Card Savings Account more attractive to consumers, potentially leading to an increase in deposits and customer base. This could have a positive impact on Apple's financial services revenue. However, as a tech giant, Apple's overall revenue is diversified, so the impact of this change on the stock may be moderate.
CONFIDENCE 75
IMPORTANCE 60
RELEVANCE 80
POSITIVE IMPACT
Goldman Sachs, Apple's partner for the Apple Card Savings Account, may see increased activity and deposits due to the raised APY, potentially benefiting from associated fees and financial activity.
As the partner bank for the Apple Card Savings Account, Goldman Sachs could benefit from increased interest in the account due to the higher APY. This could lead to more deposits and financial activity, from which Goldman Sachs could earn fees or other income. The impact on GS stock may be positive but limited, given the bank's broad range of financial services and products.
CONFIDENCE 70
IMPORTANCE 50
RELEVANCE 70