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Apple and Goldman Sachs to partner on new credit card

Apple and Goldman Sachs to partner on new credit card

Old Mar 25, 19, 12:51 pm
  #16  
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Given that this card is designed for a general audience, the fee structure (no fees) and payment options seem well-designed.

The physical card looks amazingly well designed, it's a shame they only offer 1% back on it (I assume physical card transactions would have higher theft rates than a fingerprint-verified Apple Pay transaction).

That said, no word on benefits. It may not have all the benefits (like Extended Warranty protection) of competitors like Citi Double Cash. So for those who buy a lot of Apple products, Apple's own card may not be the best.

Official press release: https://www.apple.com/newsroom/2019/...ated-by-apple/

Last edited by Xlr; Mar 25, 19 at 12:57 pm Reason: Added press release
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Old Mar 25, 19, 12:55 pm
  #17  
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Originally Posted by Xlr View Post
The physical card looks amazingly well designed, it's a shame they only offer 1% back on it (I assume physical card transactions would have higher theft rates than a fingerprint-verified Apple Pay transaction).
Actually, one of the justifications for the US doing chip and signature rather than chip and PIN is the supposedly low lost/stolen fraud rate (which is what stuff like PIN and biometrics would protect against). The lower cash back rate for non-Apple Pay transactions is likely more to encourage Apple Pay use.
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Old Mar 25, 19, 1:08 pm
  #18  
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Originally Posted by Noctilum View Post
Everything is managed from your device.
Does this mean a card account cannot be opened or used without an Apple phone?

Originally Posted by tmiw View Post
....The lower cash back rate for non-Apple Pay transactions is likely more to encourage Apple Pay use.
Agreed. It's evident that traditional card issuers are pushing back against Apple/Google/Samsung intruding on their revenue stream, and if phone payment loses momentum it could easily be relegated to niche status which is unlikely to deliver long term profits.
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Old Mar 25, 19, 1:13 pm
  #19  
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Originally Posted by mia View Post
Agreed. It's evident that traditional card issuers are pushing back against Apple/Google/Samsung intruding on their revenue stream, and if phone payment loses momentum it could easily be relegated to niche status which is unlikely to deliver long term profits.
Considering how many banks and credit unions in the US signed on with Apple, I'm not sure they feel threatened. In fact, I think banks in the US weren't going to bother with contactless payment at all until Apple showed up due to past failures of the technology to get traction.
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Old Mar 25, 19, 1:21 pm
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Originally Posted by mia View Post
Does this mean a card account cannot be opened or used without an Apple phone?
The presentation didn't really say what the process for opening the account is. I would imagine if it is limited to iPhone that you would need to apply through the iPhone to ensure you have the device, unless Apple plans to make an Apple Pay Android app (which I doubt). You will only be able to see your card number, exp date, CVV in the Apple Wallet.
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Old Mar 25, 19, 1:24 pm
  #21  
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Originally Posted by tmiw View Post
....I think banks in the US weren't going to bother with contactless payment at all until Apple showed up....
Agreed, but now that the contactless infrastructure is in place the banks are issuing cards that can use it without a phone, and the tech companies will need to do something compelling or their share will erode.
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Old Mar 25, 19, 1:56 pm
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Apple's video shows that it is a titanium laser etched card for those who love metal cards.

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Old Mar 25, 19, 2:53 pm
  #23  
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Originally Posted by Noctilum View Post
Apple's video shows that it is a titanium laser etched card for those who love metal cards.

https://www.youtube.com/watch?time_c...&v=HAZiE9NtRfs
No number? :-) Not for the old timers!
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Old Mar 25, 19, 3:25 pm
  #24  
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Originally Posted by mia View Post
Agreed, but now that the contactless infrastructure is in place the banks are issuing cards that can use it without a phone, and the tech companies will need to do something compelling or their share will erode.
Most stuff I've heard claims that contactless payment usage in the US (regardless of form) is below 1%. I'm not sure there's much market share to erode.
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Old Mar 25, 19, 4:14 pm
  #25  
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There will be no card number, no expiration date, and no signature on the card.

What happens if the Apple store cashier is handling several of such cards? Whose is whose??
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Old Mar 25, 19, 4:17 pm
  #26  
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Originally Posted by RedSun View Post
....Whose is whose?
Video shows cardholder's name is on the card, but no signature panel.
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Old Mar 26, 19, 6:44 am
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Disappointment. Apple should've told Goldman to offer 5% back on Apple Pay purchases instead of 2%... You have actually give an incentive to use Apple Pay - not pay the same or less on each transaction.
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Old Mar 26, 19, 6:53 am
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While a disappointing addition to the credit card market, there is a strong Apple following, which will likely entice many to pick up the card.
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Old Mar 26, 19, 7:58 am
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Originally Posted by mia View Post
I believe they mean better integration with Apple Pay. I think this is about boosting their payment processing business rather than selling electronics.
My wife and I have the Citi Anywhere card, which can also be used as a Costco membership card, and we never use it, even though it is our only contactless card. It was handed down from Amex, whereas I like Apple and the titanium card is the thinnest and lightest status symbol ever, so got to have it.

Originally Posted by Noctilum View Post
The presentation didn't really say what the process for opening the account is. I would imagine if it is limited to iPhone that you would need to apply through the iPhone to ensure you have the device, unless Apple plans to make an Apple Pay Android app (which I doubt). You will only be able to see your card number, exp date, CVV in the Apple Wallet.
The iPhone aside, my guess is the application is traditional with impact on your credit file, not like debit such as Amex Bluebird/Serve.
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Old Mar 26, 19, 8:37 am
  #30  
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Originally Posted by TTT103 View Post
While a disappointing addition to the credit card market, there is a strong Apple following, which will likely entice many to pick up the card.
You can pick up the card. But will you actually use it with only 2%?

Only some people use iPhone (20% US market share?). A lot people do not have the habit of using device to pay....

They will have to up the offer to motivate people to use the phone and the new credit card. Or it is just a piece of show metal....
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