In April, Apple introduced Apple Savings, a high-yield account from Goldman Sachs Bank USA designed to help users grow their Apple Card Daily Cash rewards. By August, Savings deposits from Apple users totaled more than $10 billion. It seems Apple Savings is a popular product, but is it worth it, or is an alternative high-yield savings account a better place to stash your cash?
Is the Apple High-Yield Savings Account Worth It?
Apple’s high-yield savings account is worth considering if you aren’t yet taking advantage of a high-yield savings rate and already have and regularly use the Apple Card. With these two financial tools, you can easily automate savings, earning interest on your Apple Card Daily Cash.
Apple Savings offers a competitive APY without fees or minimum balance requirements. However, the account does have one significant requirement — you must have an Apple Card. If you’re unfamiliar with the Apple Card, it’s a fee-free credit card that allows you to earn up to 3% Daily Cash — the Apple Card’s cash-back rewards — on purchases. Like Apple Savings, the Apple Card is issued by Goldman Sachs Bank.
If you’re an Apple user who hasn’t opted for an Apple Card before, it may not be worth it now just to get an Apple Savings account if any of the following apply to you:
- You already have a fee-free, high-yield savings account with a comparable or higher APY than Apple Savings’ APY.
- You have another rewards credit card that better suits your shopping needs.
- Another credit card isn’t what your credit score needs right now.
What Are the Benefits and Downsides of the Apple Savings Account?
If you’re wondering whether Apple Savings is the right high-yield account option for you, here are some pros and cons to consider.
- Competitive APY
- No minimum balance requirements
- No monthly service fees
- Automatic saving of your Apple Card Daily Cash
- An Apple Card is required
- Only available to iPhone users
- Does not support joint account ownership
How Does the Apple High-Yield Savings Account Work?
When you open an Apple Savings account, you’re agreeing to automatically deposit your Apple Card Daily Cash into your Savings account, but you can alternatively elect to send it to Apple Cash anytime. You can make additional deposits by transferring funds from Apple Cash or an external bank account. You earn a APY on your entire account balance.
To use your Apple Savings for a purchase, you must transfer the funds to your linked external bank account or to Apple Cash. Apple Savings does not have an ATM or debit card for cash withdrawals or purchases.
How Do I Get an Apple High-Yield Savings Account?
To qualify for an Apple Savings account, you must be at least 18 years old and meet the following requirements:
- Be a U.S. resident with a valid physical address and a Social Security number or individual taxpayer identification number
- Have an active Apple Card
- Have the Apple Card added to an iPhone with iOS 16.4 or later
- Have two-factor authentication enabled for your Apple ID
To set up Apple Savings:
- Launch the Wallet app on your iPhone.
- Select Apple Card.
- Tap the More button.
- Tap Daily Cash.
- Next to Savings, select Set Up.
- Follow the on-screen prompts.
When you sign up, you agree to have your Apple Card Daily Cash balance automatically transferred to your Apple Savings account. After setup, you can link an external deposit account to transfer other funds into Apple Savings.
Apple Card: A Quick Overview
If you’re considering applying for an Apple Card, here is a rundown of some of the card’s features.
The Apple Card has a 19.24% to 29.49% annual percentage rate but does not have annual, late or foreign transaction fees. You can earn up to 3% Daily Cash on purchases, and there is no limit to how much Daily Cash you can earn. You earn Daily Cash on purchases as follows:
- 3% when you use Apple Card with Apple Pay for purchases from Apple and select merchants, including Nike, Walgreens, Uber, Uber Eats, and Exxon and Mobil stations
- 2% when you make purchases from other merchants with Apple Pay
- 1% when using the Apple titanium card in-store or when using your virtual card number to make online purchases
Alternatives to the Apple High-Yield Savings Account
These high-yield savings accounts will allow you to earn a higher APY than an Apple Savings account, may better suit your savings needs and don’t require a credit card.
|Account||Annual Percentage Yield (APY)|
|Marcus Online Savings Account|
|Capital One 360 Performance Savings|
|EverBank Performance℠ Savings|
|Ally Bank Savings Account|
|Barclays Online Savings|
|TAB Bank High Yield Savings|
|Synchrony Bank High Yield Savings|
|UFB High Yield Savings|
Marcus Online Savings Account
When you open an Apple Savings account, you’re actually depositing your money with Goldman Sachs Bank. You could instead choose to open a savings account with Marcus by Goldman Sachs, Member FDIC. The Marcus Online Savings account offers a APY as of Nov. 3, which is higher than Apple Savings’ APY. The account does not have minimum deposit requirements or fees, and you can open one in only a few minutes on the Marcus website or app.
Capital One 360 Performance Savings
You’ll get a APY with Capital One’s fee-free 360 Performance Savings account. You can set up automatic transfers into the account or use the mobile check deposit feature to add to your account balance. There is no minimum opening deposit requirement, so you can open an account with any amount on the Capital One website or the mobile app.
EverBank Performance℠ Savings
A Performance Savings account with EverBank can earn a competitive APY. This account does not have monthly maintenance fees or minimum deposit requirements and is $0 to open an account.
Ally Bank Savings Account
If your savings account balance could benefit from tools for maximizing your savings efforts, you might consider an Ally Bank Savings account. With the Ally app, you can divide your account balance into “buckets” for different savings goals and use the Round Ups and Surprise Savings features to boost your savings and reach your goals faster. You won’t pay monthly maintenance fees or have to meet minimum balance requirements while earning a APY.
Barclays Online Savings
A Barclays Online Savings account may be a good option if you want a basic high-yield savings account with no monthly maintenance fees. It has a APY and does not have minimum deposit or balance requirements. Plus, you can easily manage your account online.
TAB Bank High Yield Savings
With its APY, a TAB Bank High Yield Savings account has one of the best rates you can find, plus it does not have monthly maintenance fees. You can open an account for any amount by visiting the TAB Bank website.
Synchrony Bank High Yield Savings
Synchrony High Yield Savings is another account option with few features but a good APY and no monthly fees. You’ll earn a APY regardless of your balance and can use the account’s ATM card to withdraw cash if needed.
UFB High Yield Savings
With one of the best savings rates featured on this list, UFB Direct’s UFB High Yield Savings account boasts a APY. Although the account has several balance tiers, it currently offers the same APY for all tiers, so you’ll get the same great rate regardless of how much you’ve saved. The account does not have any monthly maintenance fees. It also comes with an ATM card.
With a competitive APY and lack of fees, the Apple high-yield savings account is a good option for building savings, but perhaps only if you already have an Apple Card you regularly use. If you’re earning Apple Card Daily Cash, you might as well put it to work earning interest. Just keep in mind that you’ll only come out ahead financially if you don’t carry a balance on your Apple Card, considering how much higher the card APR is than the account APY.
If you don’t have an Apple Card, applying for a credit card to access a high-yield savings account might not be the wisest financial move. Many fee-free high-yield savings account options allow you to earn a competitive APY without getting a credit card, and the Apple Card might not be the best rewards credit card for your spending habits anyway. So before getting an Apple Card and Savings account, research your options to determine which accounts will best serve your finances.
Rates are subject to change; unless otherwise noted, rates are updated periodically. All other information on accounts is accurate as of Nov. 3, 2023.
Editorial Note: This content is not provided by any entity covered in this article. Any opinions, analyses, reviews, ratings or recommendations expressed in this article are those of the author alone and have not been reviewed, approved or otherwise endorsed by any entity named in this article.