In March, Apple announced it would be launching a credit card. It’s almost here.
The Apple Card reportedly will be released in early August. Apple employees already have had a sneak preview of how the card works.
Apple partnered with one of the nation’s most well-known financial institutions to create it. We’ll show you how the card works and what’s in the fine print.
How Apple Card works for Apple consumers
The Apple Card is tightly tied to Apple the company. If you use an iPhone with the latest iOS 12.4 update, getting a card should be a snap.
The iOS 12.4 update is said to have built-in Apple Card support. iPhone users will be able to sign up for the card via the Wallet app.
Apple partnered with Goldman Sachs to create the front and backends of the Apple Card for U.S. consumers. The card was designed by Apple, which will handle the software interface for iPhones.
Bloomberg reports that Goldman Sachs will manage the card’s banking infrastructure, payment disputes, transaction data and collating information for monthly statements. Goldman Sachs reportedly has dozens of people working on the project.
So how do you use your Apple Card? Well, the card has been designed to work best with Apple Pay.
However, cardholders also will receive a titanium card with no number for use with brick-and-mortar merchants who don’t take Apple Pay. To use the Apple Card on websites that do not accept Apple Pay, users will have a virtual card number in their Wallet app.
Related: 10 Amazing things you can do with Apple Pay
Apple Card’s fine print
So, you have your updated iPhone and are eager to get an Apple Card. Before you sign up, take a look at some of the fine print first.
First off, Apple Card’s annual percentage rate (APR) ranges from 13.24% to 24.24%. The better your credit score, the lower your APR.
Apple Card has no monthly fee or foreign transaction fee. Plus, instead of points, you get 1% back when you pay with your card, 2% if you use Apple Pay and 3% if it’s an Apple product purchase.
Your cashback is credited on your Apple Cash card, which is part of your Apple Wallet app. You can use the money to pay for items purchased through Apple Pay, to make a payment on your Apple Card or to transfer to your bank account.
Users also can see a list of their most recent transactions. Those purchases also are broken down by category.
If you are an avowed Apple consumer, this card could provide you with a nice chunk of cashback. But at the same time, count how many credit cards you already have before adding another one to your collection.