"This is completely unsurprising. The way banks make money on consumer credit cards is primarily through interest and fees, which primarily take advantage of people who are not financially literate. They also take intentional dark UX choices to ensure that collecting on fees or interest is much more likely.
Meanwhile, Apple Card had such high eligibility requirements (I got denied the first time I replied and I'm a HENRY tech worker with an 812 credit score) that the vast majority of the customers in the program are exactly the type of people who are high earning and responsible enough with money to pay the card off each month to avoid interest and fees. Apple made it a step further due to the integration into Wallet that allows you to easily track spending and ensure you can trigger payments in a way to avoid interest.
As a consumer, I love Apple Card, because it makes it simple to get base cash back and ensure I never get charged interest. Clearly it's a bad deal for Goldman Sachs, but I don't have any tears to shed for them."
"This is completely unsurprising. The way banks make money on consumer credit cards is primarily through interest and fees, which primarily take advantage of people who are not financially literate. They also take intentional dark UX choices to ensure that collecting on fees or interest is much more likely.
Meanwhile, Apple Card had such high eligibility requirements (I got denied the first time I replied and I'm a HENRY tech worker with an 812 credit score) that the vast majority of the customers in the program are exactly the type of people who are high earning and responsible enough with money to pay the card off each month to avoid interest and fees. Apple made it a step further due to the integration into Wallet that allows you to easily track spending and ensure you can trigger payments in a way to avoid interest.
As a consumer, I love Apple Card, because it makes it simple to get base cash back and ensure I never get charged interest. Clearly it's a bad deal for Goldman Sachs, but I don't have any tears to shed for them."