Apple's slow but steady expansion into financial products hit another milestone earlier this year with the launch of Apple Savings, the tech giant's entry into the market of high-yield savings accounts. But to open an Apple Savings account, you'll first need an Apple Card. If you want to add Apple's credit card to your wallet, here are some of the requirements you should meet when applying.
What credit score do you need for the Apple Card?
When you apply for an Apple Card, Goldman Sachs will review your FICO® Score based on the information on your TransUnion credit report. While some people have been approved for the Apple Card with subprime or fair credit scores (under 670), you'll have an easier time getting approved with a good to excellent score. Plus, your credit score factors into your interest rate and credit limit. A low credit score can reduce your credit limit and increase your interest rate.
FICO® scores range from very poor to excellent and fall into these categories:
- Very poor: 300 to 579
- Fair: 580 to 669
- Good: 670 to 739
- Very good: 740 to 799
- Excellent: 800 to 850
Because your TransUnion credit report is reviewed when you submit an Apple Card application, it's a good idea to take a look at that report in advance. This gives you a chance to dispute inaccuracies in your report before an application. Your credit score is based on the following:
- Payment history (35%)
- Amounts owed (30%)
- Length of credit history (15%)
- New credit (10%)
- Credit mix (10%)
Other requirements for the Apple Card
To qualify for the Apple card there are specific basic requirements you'll need to meet, including:
- Be at least 18 years old
- Be a U.S. citizen or resident and your U.S. address cannot be a P.O. Box.
- Have two-factor authentication setup for your Apple ID.
You may be required to verify your identity with a government-issued photo ID, and if you freeze your credit reports, you'll need to schedule a thaw of your TransUnion report before applying.
Apple lists several factors that could cause your application to be denied, including having a low credit score (under 600). But a healthy credit score may not be enough to get you approved for the Apple Card because other factors are considered, including:
- How frequently do you apply for credit? Are there a large number of hard inquiries on your credit report?
- Are you heavily in debt?
- Is your income enough to make payments on your debt?
- Have you recently had a bankruptcy, had property repossessed or had other negative actions taken against you?
- Are you currently behind on your bills or have you been behind before?
Apple Card benefits
Apple Card
Rewards
3% cash back on goods or services purchased directly from Apple (including Apple retail stores, the Apple online store, the App Store, iTunes, Apple Music and other Apple-owned properties) on Uber and UberEats, at Walgreens and Duane Reade stores, on the Walgreens app and on Walgreens.com, in T-Mobile stores, at Nike, at Exxon and Mobil stations and at Panera Bread, 2% cash back on Apple Pay purchases and 1% cash back on all other purchases
Welcome bonus
None
Annual fee
$0
Intro APR
None
Regular APR
19.24% to 29.49% variable
Balance transfer fee
None
Foreign transaction fee
None
Credit needed
N/A
Terms apply.
Pros
- No annual fee
- 3% cash back on goods or services purchased directly from Apple, on Uber and UberEats, at Walgreens and Duane Reade stores, on the Walgreens app and on Walgreens.com and in T-Mobile stores and at Nike
- No fee charged on purchases made outside the U.S.
Cons
- Apple Pay isn’t accepted everywhere
- Purchases with the physical card only earn 1% cash back
- No special financing offers or welcome bonus
The Apple Card is a straightforward cash-back credit card. It earns up to 3% back on purchases and the rewards are deposited daily, which is a departure from most cards that issue rewards after the close of the billing cycle. The cashback you earn can be deposited directly into an Apple Savings account or to an Apple Cash card, which you can access through Apple's Wallet app.
Cardholders earn unlimited 3% cash back at Apple, including services such as Apple Music or Apple TV+. You can also earn 3% on select transactions at these merchants:
- Ace Hardware
- Duane Reade
- Exxon
- Mobil
- Nike
- Panera Bread
- T-Mobile
- Uber
- Uber Eats
- Walgreens
When you use your Apple Card through Apple Pay, you'll earn 2% back and all other purchases earn 1% back. The Apple Card also has no annual fee, no foreign transaction fees, no over-limit fees and no late fees.
The card typically doesn't have a welcome bonus and the bonus cash-back categories are fairly restrictive. So most people are likely to be better off with a more valuable no-annual-fee credit card, like the Chase Freedom Unlimited® (see rates and fees) or Citi Double Cash® Card.
The Chase Freedom Unlimited® is a no-annual-fee card that earns generous cash-back on everyday purchases and a lucrative welcome bonus. Plus, if you pair it with a premium Chase credit card that allows point transfers, you can convert your cash back into flexible travel rewards.
- Users get a high rewards rate and strong welcome bonus
- Purchases and balance transfers receive an intro APR
- No annual fee
- Has a foreign transaction fee
- Few rewarding ongoing benefits
Highlights
Highlights shown here are provided by the issuer and have not been reviewed by CNBC Select's editorial staff.
- Earn a $200 Bonus after you spend $500 on purchases in your first 3 months from account opening
- Enjoy 5% cash back on travel purchased through Chase TravelSM, our premier rewards program that lets you redeem rewards for cash back, travel, gift cards and more; 3% cash back on drugstore purchases and dining at restaurants, including takeout and eligible delivery service, and 1.5% on all other purchases.
- No minimum to redeem for cash back. You can use points to redeem for cash through an account statement credit or an electronic deposit into an eligible Chase account located in the United States!
- Enjoy 0% Intro APR for 15 months from account opening on purchases and balance transfers, then a variable APR of 18.24% - 27.74%.
- No annual fee – You won't have to pay an annual fee for all the great features that come with your Freedom Unlimited® card
- Keep tabs on your credit health, Chase Credit Journey helps you monitor your credit with free access to your latest score, alerts, and more.
- Member FDIC
Balance transfer fee
Intro fee of either $5 or 3% of the amount of each transfer, whichever is greater, in the first 60 days. After that, either $5 or 5% of the amount of each transfer, whichever is greater.
Foreign transaction fee
3% of each transaction in U.S. dollars
What makes the Citi Double Cash® Card special is that it sits near the top of its class in several categories. It is an excellent option if you want flat-rate rewards, a balance transfer intro-APR or no annual fee.
- Balance transfers get a long intro APR
- Generous flat-rate cash-back rewards structure
- Earns transferable rewards
- No annual fee
- It has a foreign transaction fee
- Intro APR only applies to balance transfer
- Points transfer ratios are reduced compared to premium cards
Highlights
Highlights shown here are provided by the issuer and have not been reviewed by CNBC Select's editorial staff.
- Earn $200 cash back after you spend $1,500 on purchases in the first 6 months of account opening. This bonus offer will be fulfilled as 20,000 ThankYou® Points, which can be redeemed for $200 cash back.
- Earn 2% on every purchase with unlimited 1% cash back when you buy, plus an additional 1% as you pay for those purchases. To earn cash back, pay at least the minimum due on time. Plus, earn 5% total cash back on hotel, car rentals and attractions booked with Citi Travel.
- Balance Transfer Only Offer: 0% intro APR on Balance Transfers for 18 months. After that, the variable APR will be 18.49% - 28.74%, based on your creditworthiness.
- Balance Transfers do not earn cash back. Intro APR does not apply to purchases.
- If you transfer a balance, interest will be charged on your purchases unless you pay your entire balance (including balance transfers) by the due date each month.
- There is an intro balance transfer fee of 3% of each transfer (minimum $5) completed within the first 4 months of account opening. After that, your fee will be 5% of each transfer (minimum $5).
Balance transfer fee
There is an intro balance transfer fee of 3% of each transfer (minimum $5) completed within the first 4 months of account opening. A balance transfer fee of 5% of each transfer ($5 minimum) applies if completed after 4 months of account opening.
Foreign transaction fee
3%
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Bottom line
It's possible to get approved for the Apple Card with a credit score under 670, but your chances improve as your credit score increases. And an excellent credit score doesn't guarantee your approval, other factors are considered, such as income and payment history.
The Apple Card earns a solid rate of return on Apple purchases and at a limited number of merchants. But overall, it's a middle-of-road cash-back card compared to other cards in its class.
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