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Apple Card Savings Account Cap Raised to $1 Million by Goldman Sachs

Goldman Sachs raises Apple Card savings limit, allowing deposits up to $1 million.

Goldman Sachs has announced an increase in the Apple Card savings account limit from $250,000 to $1 million, signaling a significant expansion of the program's capabilities and enticing higher deposits from cardholders.

Apple Card Savings Limit Increased To $1 million

Apple Cardholders have been notified by Goldman Sachs that the bank has increased the savings account maximum from $250,000 to $1 million, Apple Insider reported.

Any deposits that exceed $1,000,000 will be refunded via check, as stated in the revised Apple Card agreement. The previous restriction had merit. Federal Deposit Insurance Corporation (FDIC) regulations state that amounts beyond $250,000 are not covered.

Any additional accounts a customer may have with Goldman Sachs are likewise included in the FDIC insurance limits. In April 2023, Apple introduced its Apple Savings account program. Our current annual percentage yield (APY) on deposits is 4.35 percent.

It was revealed in January that Apple Card users earned more than $1 billion in Daily Cash in 2023. Plus, they managed to deposit over $10 billion into Apple Savings "in just a few short months."

Is Apple Card Shutting Down In 2024?

Apple introduced the Apple Card in 2019 to further its reach into consumer finance. There has been speculation about the Apple Card's shutdown even though it has just been around for five years.

However, over six million people have signed up for the credit card, so it must be doing something right. There are still a lot of those who are wondering, "Is Apple Card going away?" Additionally, Mac Observer examined the possibility of obtaining an Apple Card in 2024.

Despite what you may have heard, 2024 will not see any significant events. While many things remain unclear, one thing is certain: Apple Card will not be discontinued in 2024. Late in January, the business announced its intention to cut connections with issuer Goldman Sachs during the next twelve to fifteen months.

Still, Apple has stated its intention to seek out a different issuing bank. In 2024, we probably won't see any modifications to Apple Card. We might see them in early 2025. Considering this, we can anticipate further updates from Apple regarding the card's future later this year.

Though it's one of a kind, the Apple Card is incredibly loss-making. When Apple first approached numerous large banks about their credit card proposals, they were promptly rejected. Goldman Sachs, which isn't very involved in the consumer lending industry, ended up becoming their dealmaker. This seems to be confirming the worst fears of many observers who thought this relationship would fail.

The fact that Goldman Sachs allegedly lost more than $1 billion is a major reason why they cut connections with Apple. This is mostly due to Apple's aim to promote interest-free usage and prevent expenses linked with the card. Apple isn't the only one who has complained about Goldman Sachs' customer service.

Apple Card is still available, even though its future is dubious. Apple has actively sought out a replacement partner and has not made any official announcements about doing away with the credit card. Current accounts shouldn't be impacted after they secure a new partner. The high-yield savings account that Apple offers is also still open for enrollment.

Photo: blocks/Unsplash

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