# Is Apple a bank now?

By [Durwin](https://paragraph.com/@durwin) · 2023-07-03

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![Tim Cook is steering one of the largest companies in history, and he is crushing it.](https://storage.googleapis.com/papyrus_images/6771a057d751a48488d41017f7eff38e0dc16da1e99a0b428c4d558c9e459ec6.jpg)

Tim Cook is steering one of the largest companies in history, and he is crushing it.

Apple dominated smartphones, then moved on to laptops, then iPads, then iPods.

Now they want to be a bank too!

Apple Card has launched a new high-yield savings account offering a 4.15% APY, which has caught the attention of many retail investors looking to increase their savings.

In just the first four days after the launch, the account has already drawn nearly $1 billion in deposits, according to Forbes.

I repeat, $1 billion dollars.

If you made $50,000 a year.

It would take you 190,000 years to earn $1 billion.

Apple did that in 4 days.

Get the point?

![Apple is seemingly entering the financial industry by offering its first high-yield savings account.](https://storage.googleapis.com/papyrus_images/c49aeda05b257bbcd816b423249b315d93a5ffb9b1f95056b28312402a27c9d0.webp)

Apple is seemingly entering the financial industry by offering its first high-yield savings account.

This new savings account from Apple Card marks a significant milestone for the company as it bravely enters the financial services industry.

The account offers an interest rate that is much higher than the national average of 0.05% for savings accounts, making it an attractive option for investors who are looking for a better return on their savings.

According to Business Times, this move by Apple Card marks a golden age for cash, as the company has tapped into a growing demand for higher-yielding savings options.

With many traditional banks and financial institutions offering low-interest rates on savings accounts, Apple Card’s high-yield savings account offers a compelling alternative that could benefit consumers and investors alike.

So why would Apple do that?

Simple, they want to increase the size of their already palatial walled garden and ecosystem.

It is a strategic move for Apple to increase customer loyalty and retention.

![Will the Vision Pro goggles change the game once again?](https://storage.googleapis.com/papyrus_images/4264393370f3f1f4b3c05a23fdc9022190a0ba7d2b3d0bea0e69370d172650f5.jpg)

Will the Vision Pro goggles change the game once again?

By offering a savings account, Apple can encourage its customers to stay within its ecosystem and further integrate with its other services, such as Apple Pay and Apple Card.

This not only drives customer retention but also increases customer lifetime value and revenue for Apple.

Also, it is a smart financial move for Apple to diversify its revenue streams beyond its core hardware products.

Now with so much new cash coming into their already ridiculous cash reserves, I really wonder how they will deploy all that moolah.

“In its last quarterly filing of December 31, 2022, Apple reported **$51.355 billion** cash on hand.”

Goodness.

![Less we forget, Starbucks has already turned into a bank years ago with its gift card system.](https://storage.googleapis.com/papyrus_images/5523efa8e210fd0e240705cd287830594b5f6283706219cfb6c7837b3d22ff53.webp)

Less we forget, Starbucks has already turned into a bank years ago with its gift card system.

With its innovative financial offerings and user-friendly interface, Apple might actually be a real player in the fintech arena.

The high-yield savings account offered by Apple may be an attractive option for the average consumer for several reasons.

Firstly, the interest rate offered by Apple is significantly higher than that of most traditional banks. At 4.15% APY, it is more than ten times the national average, making it an excellent option for consumers looking to earn higher interest on their savings.

Secondly, the ease of use and accessibility of Apple’s savings account may be appealing to the average consumer.

Apple is famous for its fluidity, grace, elegance, user-friendliness and intuitive interfaces, and its savings account is no exception.

It can be easily accessed through the Wallet app on an iPhone, and deposits and withdrawals can be made quickly and securely.

Finally, there’s Apple’s reputation for reliability and security.

Apple has a history of prioritizing user privacy and security, and its savings account is no exception.

![](https://storage.googleapis.com/papyrus_images/67f5b20f93737f59ad15c97bc77662b987e925f07c416c42da92dea9c10bb627.jpg)

It is FDIC-insured, meaning that deposits are protected up to $250,000 per depositor, and the account is protected by Apple’s advanced security measures, including two-factor authentication and biometric identification.

As the financial services industry continues to evolve, it will be interesting to see how Apple’s foray into fintech would play out.

Will other traditionally non-financial institutions follow suit and offer higher-yielding savings options to compete with Apple Card?

Will Apple Card dominate the market with its bold approaches?

Only time will tell, but one thing is for sure: with the launch of its new high-yield savings account, Apple Card has opened up a world of possibilities for investors looking for a better return on their savings.

And Apple’s shareholders are lovin’ it.

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Is Apple a bank now?

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#AppleCard #SavingsAccount #HighYield #Investing #FinancialServices #Fintech #FDIC #APY #Cash #GrowthOpportunity #InnovativeFinance #FutureOfFinance #apple #stevejobs #banking #money

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*Originally published on [Durwin](https://paragraph.com/@durwin/is-apple-a-bank-now)*