Apple Inc. has announced another increase in the Annual Percentage Yield (APY) for its Apple Card Savings Account. The APY has been raised to 4.50% from 4.35%, marking the third time the 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.
The APY increase was notified to Apple Card Savings Account holders via push notifications. This move by Apple aligns its savings account with the APY offered by several other popular high-yield savings accounts, such as those from American Express, Discover, and Marcus by Goldman Sachs.
The Apple Card Savings Account, offered in partnership with Goldman Sachs Group Inc., 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.
This increase in APY comes shortly after Apple’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 important to note that the interest earned on these accounts is taxable, as Apple has started sending out 1099-INT tax forms to its Apple Card Savings account holders at the end of the year.
Overall, Apple’s increase in APY for its Apple Card Savings Account is a positive development for account holders, as it aligns with the rates offered by other popular savings accounts. It provides an opportunity for Apple Card users to earn more interest on their deposits and take advantage of the exclusive subscription deals offered by the tech giant.
