Back to Blog

Can Apple Card’s New Savings Account Improve Americans’ Savings Habits?

Can Apple Card’s New Savings Account Improve Americans’ Savings Habits?

As someone who is passionate about personal finance, I was excited to see Apple Card unveil its Savings account today, especially during financial literacy month. The launch comes three-and-a-half years after Apple first debuted the Apple Card in partnership with Goldman Sachs in 2019.

Launching today, the new Savings account enables Apple Card users to set up and manage their funds from within their Apple Wallet. With the high-yield savings account, users will earn 4.15% APY with no minimum deposits and no minimum balance requirements.

The accounts build on Apple Card’s Daily Cash, the credit card’s cashback rewards feature. When a user sets up their Savings account in the Apple Wallet, the Daily Cash they earn on purchases is automatically deposited into their Savings account. In addition to saving their Daily Cash, users can deposit funds through a linked bank account or from their balance in Apple Cash.

“Savings helps our users get even more value out of their favorite Apple Card benefit — Daily Cash — while providing them with an easy way to save money every day,” said Apple VP of Apple Pay and Apple Wallet Jennifer Bailey. “Our goal is to build tools that help users lead healthier financial lives, and building Savings into Apple Card in Wallet enables them to spend, send, and save Daily Cash directly and seamlessly — all from one place.”

Apple Card’s Savings account also comes with a dashboard to enable users to track their account balance and the interest they’ve earned over time. The account, which is powered by Goldman Sachs, does not charge fees for account origination, maintenance, or withdraws.

The U.S. Federal Reserve has raised rates consistently since March 2022. Despite many incumbent banks holding the rates on their savings accounts near zero, it’s nice that a handful of fintechs are passing the positive impacts of the higher rates down to consumers.

But with the rising cost of living, many consumers may not take advantage of such high rates. Credit Karma issued the results of a survey today that details the impact of Americans’ poor savings habits and inadequate financial literacy. The survey targeted Americans’ knowledge (or lack thereof) of their own net worth, and took a look into their retirement savings. Here’s an overview of some of the survey results:

  • 51% of Americans don’t know how to calculate their net worth
  • 31% of Americans have a net worth of $0 or less
  • 21% of respondents aged 59+ report they have a net worth of $0 or less
  • 30% of Gen Z care more about celebrities’ net worth than their own 
  • 27% of respondents (including 25% of Gen X and 27% aged 59+) say they don’t have any money saved for retirement right now.
  • 67% of Americans say they don’t currently track their net worth
  • 22% of Americans believe the term “net worth” only applies to wealthy people

For me, these statistics are eye-opening, and the lack of savings are disheartening. Can fintech fix this? My guess is that, even with enticingly high rates, Americans’ poor savings habits will die hard. And the American Dream may die harder.


Photo by Mikhail Nilov