In addition to computers, phones, software and other tech products, Apple has announced it will soon offer its own credit card: the Apple Card.
The tech giant introduced Apple Card, created in partnership with Mastercard and Goldman Sachs, at its “show time” services event Monday, in Cupertino, California, The Verge reported. Apple CEO Tim Cook touted Apple Card as, “the most significant change in the credit card experience in 50 years."
Apple Card will be available on all iOS devices in the Wallet app and is set for release this summer. Customers who want a physical card can get an optional “laser-etched titanium rectangle,” CNN reported.
Unlike traditional credit cards, Apple Card comes with no card number, CVV security code or expiration date. Purchases are instead authenticated with a fingerprint or face-identification.
The new card will also offer a rewards system known as Daily Cash, in which 2 percent of any Apple Pay purchase goes directly back to the Apple wallet as cash. The deposits are made daily, and the reward goes up to 3 percent for purchases of Apple products and down to 1 percent for purchases made with the physical card, according to CNN.
Apple said the card has no late fees or increased interest rates for late payments, but The Verge noted, “We’ll read the fine details to see if there are limits.”
Some speculate Apple Card is meant to encourage use of Apple Pay, which Cook said Monday is only accepted by 70 percent of U.S. retailers, as opposed to 99 percent of retailers in Australia.
“They’re really nudging consumers toward using Apple Pay on a regular basis and not just as an occasional thing when a retailer allows,” Sara Rathner, a credit card expert at personal finance company NerdWallet, told The Verge.
More information on Apple Card can be found here.
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