Goldman Sachs today increased the Apple Card savings account's balance limit to $1 million, with cardholders being notified by email.
From the updated Apple Card cardholder agreement, effective March 1:
The maximum balance limit for your Account is $1,000,000, based on your Current Balance (including interest and Daily Cash deposits).
The account's previous balance limit was $250,000, which is the maximum amount that the U.S. Federal Deposit Insurance Corporation (FDIC) would cover in the event that Goldman Sachs were to become insolvent. Any deposits above $250,000, up to the new $1 million limit, would not be covered by the FDIC in the event of bank failure.
Some other high-yield savings accounts in the U.S. offer balance limits above $250,000. For example, Goldman Sachs' other high-yield savings account Marcus allows a maximum balance of $1 million per account, up to a total of $3 million.
Apple launched its savings account in April 2023, in partnership with Goldman Sachs. The account can be opened and managed in the Wallet app on the iPhone, and it has no fees, no minimum deposits, and no minimum balance requirements. You must have an Apple Card, be a U.S. resident, and be at least 18 years old to open an account.
The account allows Apple Card holders to earn interest on their Daily Cash cashback balance, and on funds deposited via a linked bank account or an Apple Cash balance. Apple's savings account currently offers a 4.5% APY following an increase in late January.
To open a savings account in the Wallet app, tap on your Apple Card, tap on the circle with three dots at the top of the screen, tap Daily Cash, and select Set Up Savings.
Goldman Sachs reportedly plans to end its partnership with Apple, but it is unclear how this might impact the Apple Card and the savings account.
(Thanks, Jose Perez Jr.!)
Top Rated Comments
Obligatory: Tim Apple, how much do you want [S]to get [/S] allow the [S]suckers[/S] customers to [S]pre-spend[/S] save
kidding...kidding - down/angry votes incoming
But annyway: Bank runs did happen in 2023. And all FDIC insured deposits were covered. Heck, even some of the non-insured deposits over the FDIC limit ended up being covered as well.
The FDIC insurance worked. It worked so well that you seemingly never noticed (or have since forgotten) that all of this happened less than 12 months ago, lol.
Fixed typo: 29 days not 20 days.