Is there a reason Apple went with MasterCard instead of Visa? Lower costs?
As for interest, the information Barry Sanders presents is eye opening. Credit card companies are legal loansharks and there’s no reason why GS or Apple should be charging so much.
Guess what, interest only applies if you are buying stuff you can not afford. This is the cost you pay for wanting something now verse saving and buying when you have the money. If pay the card off, you get to use the CC companies money for 30 days and if you have an award card they pay you to use it. I can tell you I never paid any interest in over 25 yrs and the money they pay me to use their card, I pay a good portion of my Dec bill each year.
The primary reason CC interest rates are so high is due to the fact so many people default on their CC payments. The people who pay the high interest are just funding the bad behavior of other people. In my case i am not funding those people bad behavior, I can keep cash in the market and extra 30 days and get 1% or 2% interest, and get paid 1% to 5% for using the card. So the people paying the high interest are funding me to use the card.
Don’t forget taxation issues. You’re getting cash back. Even the points you earn from regular credit cards can have income tax consequences. You may be surprised to receive 1099-Misc form at the end of the year.
Now, because the cash back is immediate and not delayed, it’s less likely to be seen as income, and because the cash back is directly related to a purchase, it again will not likely be considered income (he longer the delay in receiving the discount, the more likely the discount is considered income). Discounts and cash back promotions by other card companies to get you to sign up are likely taxable, the commenter’s suggestion that this is a negative of the Apple Card should be considered a positive or at least neutral.
See your tax accountant.
Mostly this is incorrect in the US. Unless the cash back or bonus is not tied to making a purchase and has no purchase requirement, it is not income but rather a discount, and how long it takes doesn't matter. You paid for it with already taxed income.
Businesses deducting expenses are a (slightly) different matter and must account for the effective price discount when deducting.
Don’t forget taxation issues. You’re getting cash back. Even the points you earn from regular credit cards can have income tax consequences. You may be surprised to receive 1099-Misc form at the end of the year.
Now, because the cash back is immediate and not delayed, it’s less likely to be seen as income, and because the cash back is directly related to a purchase, it again will not likely be considered income (he longer the delay in receiving the discount, the more likely the discount is considered income). Discounts and cash back promotions by other card companies to get you to sign up are likely taxable, the commenter’s suggestion that this is a negative of the Apple Card should be considered a positive or at least neutral.
See your tax accountant.
Mostly this is incorrect in the US. Unless the cash back or bonus is not tied to making a purchase and has no purchase requirement, it is not income but rather a discount, and how long it takes doesn't matter. You paid for it with already taxed income.
Businesses deducting expenses are a (slightly) different matter and must account for the effective price discount when deducting.
To further add to your statement:
“In general, credit card rewards are viewed by the IRS as a discount, not income. So if you're getting 2% cash back, that would be considered a 2% discount on your purchases. Discounts aren't taxable, so you don't need to keep track of your credit card rewards for tax time.”
Yes, that company also has a knack for being extremely corrupt and unethical.
So it's like every other bank basically?
If somebody has moral problems or any kind of issues at all with GS and the Apple Card, then the solution is simple, don't get the card.
Wasn’t planning on getting it. My “everyday” credit card provides better rewards.
I've been hearing that claim since Apple introduced the card yet not one person has proven that to be correct. What card do you have that is better than 2% as a minimum for Apple Pay purchases or better than 3% for the Apple Store?
So what you are saying is having the newest shiny thing from Apple is more important than ethical or corruption issues. You know people every day make choices like that. That is why we have unethical and corruption in the world. People will tolerate or ignore it for their own personal gain.
I'm basically saying that people make a whole number of choices each and every day as to where they will shop, who they will do business with, who they choose to stay away from etc.
And people will have different viewpoints and priorities as to who is ethical and who is corrupt.
maestro64 said: But Goldman Sack is on the backside...
I didn't realize that was the back. The mag strip isn't the stripe I'm used to seeing. This is great. Almost nobody who actually touches the card looks at the obverse anymore, bringing Goldman's Sack cachêt to about zero. I can't wait to see the looks or hear comments when others see front of the card.
Is there a reason Apple went with MasterCard instead of Visa? Lower costs?
As for interest, the information Barry Sanders presents is eye opening. Credit card companies are legal loansharks and there’s no reason why GS or Apple should be charging so much.
Guess what, interest only applies if you are buying stuff you can not afford.
The primary reason CC interest rates are so high is due to the fact so many people default on their CC payments. The people who pay the high interest are just funding the bad behavior of other people. In my case i am not funding those people bad behavior, I can keep cash in the market and extra 30 days and get 1% or 2% interest, and get paid 1% to 5% for using the card. So the people paying the high interest are funding me to use the card.
That's right. Yeah CC companies rates are usury in almost all cases. But there's no need to pay them in the first place. Some card company cancelled me years ago because I did not carry a balance. I got it because there was no annual fee, a first back then. I went over a year or so and got a notice that it was being cancelled. I do not recall the exact wording, but it was because of maintaining a zero balance. Later another CC company dropped me because I didn't use their card at all. It was merely an emergency card, again with no annual fee.
However, people funding bad behavior also make it possible for others to make money by using using the CC judiciously, buying only what you can afford. I have taken advantage over the years of various '__________ days same as cash' and other zero interest offers. Most of them stated they were only available to those with 'approved' credit, though I suspect they hoped you missed a payment.
I'm also curious about Apple choice of MC over Visa, not that I see or know of any advantage of one over the other.
Is there a reason Apple went with MasterCard instead of Visa? Lower costs?
As for interest, the information Barry Sanders presents is eye opening. Credit card companies are legal loansharks and there’s no reason why GS or Apple should be charging so much.
Guess what, interest only applies if you are buying stuff you can not afford.
The primary reason CC interest rates are so high is due to the fact so many people default on their CC payments. The people who pay the high interest are just funding the bad behavior of other people. In my case i am not funding those people bad behavior, I can keep cash in the market and extra 30 days and get 1% or 2% interest, and get paid 1% to 5% for using the card. So the people paying the high interest are funding me to use the card.
That's right. Yeah CC companies rates are usury in almost all cases. But there's no need to pay them in the first place. Some card company cancelled me years ago because I did not carry a balance. I got it because there was no annual fee, a first back then. I went over a year or so and got a notice that it was being cancelled. I do not recall the exact wording, but it was because of maintaining a zero balance. Later another CC company dropped me because I didn't use their card at all. It was merely an emergency card, again with no annual fee.
However, people funding bad behavior also make it possible for others to make money by using using the CC judiciously, buying only what you can afford. I have taken advantage over the years of various '__________ days same as cash' and other zero interest offers. Most of them stated they were only available to those with 'approved' credit, though I suspect they hoped you missed a payment.
I'm also curious about Apple choice of MC over Visa, not that I see or know of any advantage of one over the other.
If your CC is canceling for not carrying a balance you need a better company CC, I'm never seen that, my discover card is 30 yrs old and it the current back up. Our via of 20 yrs old is the primary and never carried balance on it, and our master card is just used for recurring bills and never leaves the safe.
Also you know the government, now requires CC companies to cancle your card if you do not use it for two years. So you have to use then otherwise it will be cancelled.
Yes, that company also has a knack for being extremely corrupt and unethical.
So it's like every other bank basically?
If somebody has moral problems or any kind of issues at all with GS and the Apple Card, then the solution is simple, don't get the card.
Wasn’t planning on getting it. My “everyday” credit card provides better rewards.
I've been hearing that claim since Apple introduced the card yet not one person has proven that to be correct. What card do you have that is better than 2% as a minimum for Apple Pay purchases or better than 3% for the Apple Store?
1. 2% is literally on almost every rewards card that I’ve seen. Hell, some cards go all the way up to 5% on certain categories.
2. I don’t buy shit from the Apple Store except for an iPhone every 2-3 years, so that 3% is utterly meaningless.
I would have considered getting this one if that 3% wasn’t just for their products. But this company has hoarded enough money, so I’ll abstain from the card.
Yes, that company also has a knack for being extremely corrupt and unethical.
So it's like every other bank basically?
If somebody has moral problems or any kind of issues at all with GS and the Apple Card, then the solution is simple, don't get the card.
Wasn’t planning on getting it. My “everyday” credit card provides better rewards.
I've been hearing that claim since Apple introduced the card yet not one person has proven that to be correct. What card do you have that is better than 2% as a minimum for Apple Pay purchases or better than 3% for the Apple Store?
1. 2% is literally on almost every rewards card that I’ve seen. Hell, some cards go all the way up to 5% on certain categories.
2. I don’t buy shit from the Apple Store except for an iPhone every 2-3 years, so that 3% is utterly meaningless.
I would have considered getting this one if that 3% wasn’t just for their products. But this company has hoarded enough money, so I’ll abstain from the card.
1) Again, what card do you have that is better than 2% as a minimum for Apple Pay purchases or better than 3% for the Apple Store? It sounds like it's the same in terms of the percentage back as a minimum for Apple Pay purchases and yet you keep trying to claim that Apple's card is worse and won't even acknowledge its other benefits, like not having to wait until the billing cycle is over and your bill is ready before rewards are offered or (even worse) not getting them until the billing cycle after your bill is paid.
2) Oh, you don't "buy shit from the Apple Store" so that means there's no benefit for users that do. Do you go around telling people that their Costco Visa is crap because 4% off fuel means nothing to you because you don't live near a Costco with a gas station? You see how dumb that sounds?
Yes, that company also has a knack for being extremely corrupt and unethical.
So it's like every other bank basically?
If somebody has moral problems or any kind of issues at all with GS and the Apple Card, then the solution is simple, don't get the card.
Wasn’t planning on getting it. My “everyday” credit card provides better rewards.
I've been hearing that claim since Apple introduced the card yet not one person has proven that to be correct. What card do you have that is better than 2% as a minimum for Apple Pay purchases or better than 3% for the Apple Store?
1. 2% is literally on almost every rewards card that I’ve seen. Hell, some cards go all the way up to 5% on certain categories.
2. I don’t buy shit from the Apple Store except for an iPhone every 2-3 years, so that 3% is utterly meaningless.
I would have considered getting this one if that 3% wasn’t just for their products. But this company has hoarded enough money, so I’ll abstain from the card.
1) Again, what card do you have that is better than 2% as a minimum for Apple Pay purchases or better than 3% for the Apple Store? It sounds like it's the same in terms of the percentage back as a minimum for Apple Pay purchases and yet you keep trying to claim that Apple's card is worse and won't even acknowledge its other benefits, like not having to wait until the billing cycle is over and your bill is ready before rewards are offered or (even worse) not getting them until the billing cycle after your bill is paid.
2) Oh, you don't "buy shit from the Apple Store" so that means there's no benefit for users that do. Do you go around telling people that their Costco Visa is crap because 4% off fuel means nothing to you because you don't live near a Costco with a gas station? You see how dumb that sounds?
This entire conversation has been about me and only me. I really could not care less about others and their credit cards or what they think of this one.
Oh, and I never said Apple’s credit card is bad, it’s just that the ones I have are better.
Yes, that company also has a knack for being extremely corrupt and unethical.
So it's like every other bank basically?
If somebody has moral problems or any kind of issues at all with GS and the Apple Card, then the solution is simple, don't get the card.
Wasn’t planning on getting it. My “everyday” credit card provides better rewards.
I've been hearing that claim since Apple introduced the card yet not one person has proven that to be correct. What card do you have that is better than 2% as a minimum for Apple Pay purchases or better than 3% for the Apple Store?
1. 2% is literally on almost every rewards card that I’ve seen. Hell, some cards go all the way up to 5% on certain categories.
2. I don’t buy shit from the Apple Store except for an iPhone every 2-3 years, so that 3% is utterly meaningless.
I would have considered getting this one if that 3% wasn’t just for their products. But this company has hoarded enough money, so I’ll abstain from the card.
1) Again, what card do you have that is better than 2% as a minimum for Apple Pay purchases or better than 3% for the Apple Store? It sounds like it's the same in terms of the percentage back as a minimum for Apple Pay purchases and yet you keep trying to claim that Apple's card is worse and won't even acknowledge its other benefits, like not having to wait until the billing cycle is over and your bill is ready before rewards are offered or (even worse) not getting them until the billing cycle after your bill is paid.
2) Oh, you don't "buy shit from the Apple Store" so that means there's no benefit for users that do. Do you go around telling people that their Costco Visa is crap because 4% off fuel means nothing to you because you don't live near a Costco with a gas station? You see how dumb that sounds?
This entire conversation has been about me and only me. I really could not care less about others and their credit cards or what they think of this one.
Oh, and I never said Apple’s credit card is bad, it’s just that the ones I have are better.
No. No it hasn't. Your comments never once indicated that the card was fine, but doesn't suit your specific needs. I even brought up that argument for you as an out weeks ago but you doubled down on your comments that the card is shit.
Would have been a bit cooler if they could drop the co-branding (especially the taste Goldman leaves for some...), but slick looking card.
I still haven't read anywhere - does it have any form of warranty extension?
As far as I am concerned, the co-branding with Goldman Sachs gives this card cache. GS is a serious, substantive financial services company. Arguably the best in the world.
And if this co-branding keeps some possible clientele out, I am actually kind of fine with their not being a part of Apple credit card pool. There certainly are plenty of other credit cards out there. (Although they’d be kidding themselves, and being hypocritical, if they think major financial services companies that offer credit cards don’t have issues similar to that of GS).
Some cachét. Goldman Sachs is a seriously immoral company whose fingerprints are all over pretty much every major international financial anomaly of the last decade. From self-dealing against its own investment banking customers during the Great Recession, to manipulating the aluminum commodities market, to insider trading by one of its directors in the Galleon Group case, to its dubious role in the Greek financial crisis, and many other highly malodorous escapades, the latest being its role in the multi-billion dollar embezzlement case that raided the Malaysian sovereign fund. Yes, the other financial services have their dirty laundry as well, but no one's pile of laundry is as huge, widespread, and filthy as Goldman Sachs'.
Don’t forget taxation issues. You’re getting cash back. Even the points you earn from regular credit cards can have income tax consequences. You may be surprised to receive 1099-Misc form at the end of the year.
Now, because the cash back is immediate and not delayed, it’s less likely to be seen as income, and because the cash back is directly related to a purchase, it again will not likely be considered income (he longer the delay in receiving the discount, the more likely the discount is considered income). Discounts and cash back promotions by other card companies to get you to sign up are likely taxable, the commenter’s suggestion that this is a negative of the Apple Card should be considered a positive or at least neutral.
However, if you are buying an item for business purposes with Apple Card and therefore will be deducting the cost from business income, it’s likely you will not be able to deduct the cost of the item, but the cost less the cash back amount, which results in not being able to deduct as much from business income.
See your tax accountant.
Cash back on a purchase is a rebate and not taxable income for consumers. For businesses, it's an adjustment to COGS.
Comments
The primary reason CC interest rates are so high is due to the fact so many people default on their CC payments. The people who pay the high interest are just funding the bad behavior of other people. In my case i am not funding those people bad behavior, I can keep cash in the market and extra 30 days and get 1% or 2% interest, and get paid 1% to 5% for using the card. So the people paying the high interest are funding me to use the card.
Businesses deducting expenses are a (slightly) different matter and must account for the effective price discount when deducting.
“In general, credit card rewards are viewed by the IRS as a discount, not income. So if you're getting 2% cash back, that would be considered a 2% discount on your purchases. Discounts aren't taxable, so you don't need to keep track of your credit card rewards for tax time.”
And people will have different viewpoints and priorities as to who is ethical and who is corrupt.
However, people funding bad behavior also make it possible for others to make money by using using the CC judiciously, buying only what you can afford. I have taken advantage over the years of various '__________ days same as cash' and other zero interest offers. Most of them stated they were only available to those with 'approved' credit, though I suspect they hoped you missed a payment.
I'm also curious about Apple choice of MC over Visa, not that I see or know of any advantage of one over the other.
Also you know the government, now requires CC companies to cancle your card if you do not use it for two years. So you have to use then otherwise it will be cancelled.
2. I don’t buy shit from the Apple Store except for an iPhone every 2-3 years, so that 3% is utterly meaningless.
I would have considered getting this one if that 3% wasn’t just for their products. But this company has hoarded enough money, so I’ll abstain from the card.
2) Oh, you don't "buy shit from the Apple Store" so that means there's no benefit for users that do. Do you go around telling people that their Costco Visa is crap because 4% off fuel means nothing to you because you don't live near a Costco with a gas station? You see how dumb that sounds?
Oh, and I never said Apple’s credit card is bad, it’s just that the ones I have are better.