The iPhone manufacturer estimated the entire amount of deposits at around $10 billion in a news release on Wednesday. According to Apple, that money accumulated throughout the roughly 3.5 months that Apple Card customers had the option of opening them.
Customers who open savings accounts receive an annual percentage interest rate of 4.15%. The accounts also don’t have fees, requirements for minimum deposits, or minimum balance requirements.
Customers of Goldman Sachs savings accounts also have access to a service that automatically directs the Daily Cash cashback benefits they receive from transactions into their accounts. 97% of those who have savings accounts have chosen to use the automatic deposit option, according to Apple.
Apple and Goldman Sachs collaborate on a high-yield savings account:
Liz Martin, head of Goldman Sachs Enterprise Partnerships, said, “We are very pleased with the success of the Savings account as we continue to deliver seamless, valuable products to Apple Card customers, with a shared focus on creating a best-in-class customer experience that helps consumers lead healthier financial lives.
According to a Forbes report from the beginning of May, over 240,000 customers opened Apple savings accounts in the first week they were made available. In the four days after the money became available, the accounts reportedly saw $990 million in incoming funds.
The outlet bases its reporting on two unidentified sources.
The Wall Street Journal reported on June 30 that Goldman Sachs was in discussions with the investment company to perhaps dump its partnership with Apple Card as it seeks to reduce its consumer-facing business with American Express. At the time, Goldman Sachs declined to speak to FOX Business.
The $10 billion in savings account deposits were announced by Apple on Wednesday, one day before the tech giant releases and discusses its third-quarter results.
During the second-quarter earnings call on May 4, CEO Tim Cook stated, “With regard to the savings account specifically, we are quite happy with the early response. “It’s been amazing,”
He added that Apple believed that it and Apple Pay Later “help customers live a better or healthier financial life.”
