Elon Musk dreams of turning X into the “everything app” including financial services. He will fail.
I dunno. Does Tim Cook have the balls to be openly anti-semitic, pro-conspiracy, and tell his customers to f*** themselves in one week? Jeneyus, I tells ya!
The only reason I got the card was the attractive no-interest financing on Apple products. And even that has become less attractive as Apple/GS only give one year (one!) to pay off a mac, and two years to pay off an iphone (because that makes sense).
As far as transitioning banks, no, you won't have to "reapply" for a new card. When Costco dumped Amex for Citi, I did not have to reapply, and all balances, credit limits, etc. carried over without issue. Yes, it will show as a closed account and, if it was your card with the most longevity, it would affect your score. Given how new the apple card is, I doubt it establishes a majority of users' credit histories or is their "lengthiest" card.
Why is the credit score so important? You really only need good credit once: when you want to get a mortgage. Surely, mortgage lenders look at income vs expenses, savings, outstanding loans, and value to mortgage ratio more closely than they look at a credit score.
Unexpected perhaps, but it's a significant factor in insurance scoring. Better credit rating=better price on insurance.
Why is the credit score so important? You really only need good credit once: when you want to get a mortgage. Surely, mortgage lenders look at income vs expenses, savings, outstanding loans, and value to mortgage ratio more closely than they look at a credit score.
It very much affects the mortgage process. I’ve been in it with a construction loan plus renewal and now working on the long term mortgage. Credit score affects which rate bands you get assigned to for interest rates and that sort of thing. Then your income and debts and all that determine if you actually can get approved but the interest rate band you get applied to affects your payment which affects debt to income etc.
The due date of the bills is not relevant as some cards already allow you to pick your own payment due date. It’s significantly easier to know a bill is always due on the 1st.
Actually a single due date puts a lot of pressure on the servicing partner (GS) since all bills and processing must be done at the same time. Regardless of when you set your personal due date the larger customer base is spread over the whole month.
I'd add that the issue is that Apple reportedly pushed for nearly 100% acceptance on applications for the card, and that bad debt and late payments are what is hurting the partnership and is likely the challenge for another firm to take over. The cost of providing the cash back plus the other perks are mad up in swipe fees that ultimately are borne by retailers. My guess is we'll see much more strict hurdles for new applicant and likely some aggressive trimming of current customers. Lets face it if the benefits to the financial services partner was so great, everyone would be jumping to take over the card.
I never understood what Apple brought to the table in this deal, other than their logo. Apple is just the distributor. The card is issued by GS; credit extended by GS; cash-back paid by GS; billing, customer service, etc. provided by GS. This is just a white labelled credit card, with a good app - there are plenty of these in the world, all of which can be added to Apple Wallet. GS wanted to make the deal because as a newcomer to the CC market, which has very high marketing costs, they saw a lot of value in Apple distribution, but I doubt any established card issuer will see it this way.
Adding a card to Wallet isn't the same as what you get with Apple Card in Wallet.
The only reason I got the card was the attractive no-interest financing on Apple products. And even that has become less attractive as Apple/GS only give one year (one!) to pay off a mac, and two years to pay off an iphone (because that makes sense).
As far as transitioning banks, no, you won't have to "reapply" for a new card. When Costco dumped Amex for Citi, I did not have to reapply, and all balances, credit limits, etc. carried over without issue. Yes, it will show as a closed account and, if it was your card with the most longevity, it would affect your score. Given how new the apple card is, I doubt it establishes a majority of users' credit histories or is their "lengthiest" card.
Why is the credit score so important? You really only need good credit once: when you want to get a mortgage. Surely, mortgage lenders look at income vs expenses, savings, outstanding loans, and value to mortgage ratio more closely than they look at a credit score.
Once, eh? And how do you establish credit if you only need to establish an excellent credit score if you only worry about when you need to get your mortgage?
Oddly, you have ignoring refinancing, purchasing another home/property/upgrade, purchasing a vehicle, auto insurance, and countless other ways in which your credit score is used to determine if you are a statistically safe bet, but I'm also not surprised as you've now been on several threads regarding this card making foolish statements.
The only reason I got the card was the attractive no-interest financing on Apple products. And even that has become less attractive as Apple/GS only give one year (one!) to pay off a mac, and two years to pay off an iphone (because that makes sense).
As far as transitioning banks, no, you won't have to "reapply" for a new card. When Costco dumped Amex for Citi, I did not have to reapply, and all balances, credit limits, etc. carried over without issue. Yes, it will show as a closed account and, if it was your card with the most longevity, it would affect your score. Given how new the apple card is, I doubt it establishes a majority of users' credit histories or is their "lengthiest" card.
Why is the credit score so important? You really only need good credit once: when you want to get a mortgage. Surely, mortgage lenders look at income vs expenses, savings, outstanding loans, and value to mortgage ratio more closely than they look at a credit score.
Unexpected perhaps, but it's a significant factor in insurance scoring. Better credit rating=better price on insurance.
Not unexpected. Risk is risk. Statistically, people who are responsible with their finances also tend to also be responsible drivers, and those are not responsible borrowers tend not to be responsible drivers.
Elon Musk dreams of turning X into the “everything app” including financial services. He will fail. But Apple will succeed — the everything app will just be the iPhone plus Apple services.
Okay, “credit age” is kind of a weird term to use but I assume you mean credit history. If so, then this shouldn’t impact your credit history. You will show an account closed with one bank and another opened with a new bank. That doesn’t change the length of your credit history.
I recently had an experience where one of card issuing banks was sold to another bank. My Credit age for the card hasn't changed after the change. While I am not a apple card customer, I wouldn't be concerned about this. If there is one thing apple is known for its continuity. With this being a area of focus for apple...
The only reason I got the card was the attractive no-interest financing on Apple products. And even that has become less attractive as Apple/GS only give one year (one!) to pay off a mac, and two years to pay off an iphone (because that makes sense).
As far as transitioning banks, no, you won't have to "reapply" for a new card. When Costco dumped Amex for Citi, I did not have to reapply, and all balances, credit limits, etc. carried over without issue. Yes, it will show as a closed account and, if it was your card with the most longevity, it would affect your score. Given how new the apple card is, I doubt it establishes a majority of users' credit histories or is their "lengthiest" card.
Why is the credit score so important? You really only need good credit once: when you want to get a mortgage. Surely, mortgage lenders look at income vs expenses, savings, outstanding loans, and value to mortgage ratio more closely than they look at a credit score.
We’ll see what happens to our credit ratings when the GS Mastercard is dropped. I have excellent credit but having a new credit card will reduce my credit age. Amex isn’t always taken at stores and restaurants so it might not be a good replacement.
Okay, “credit age” is kind of a weird term to use but I assume you mean credit history. If so, then this shouldn’t impact your credit history. You will show an account closed with one bank and another opened with a new bank. That doesn’t change the length of your credit history.
Credit age is different from credit history. History is everything that has taken place in your credit. Payments (or lack of), when it was opened, balances, credit limits, etc. Credit age is a different metric that measures how long you've had established credit. While credit age is discerned from your info without credit history these are not one and same.
For example, if you have a card that you opened up 10 years ago as your only card you have a credit age of 10 years, but if you then opened up 4 more cards to today as soon as those cards are reported to your credit bureaus your credit age would drop to the mean average of 2 years. This will shown by Credit Karma and others as Oldest Account, Newest Account, and the Average Age. This has a medium impact on your overall score.
PS: I suggest everyone create accounts and FREEZE their credit from all the major bureaus. This is different from LOCKING your credit for a free from the major bureaus. This is help ensure that your info — which is very likely on the dark web already — can't be used to open up new lines of credit without your express efforts to unfreeze your credit to allow a credit check to occur. Data is still reported without interruption even when your credit is frozen.
The only reason I got the card was the attractive no-interest financing on Apple products. And even that has become less attractive as Apple/GS only give one year (one!) to pay off a mac, and two years to pay off an iphone (because that makes sense).
As far as transitioning banks, no, you won't have to "reapply" for a new card. When Costco dumped Amex for Citi, I did not have to reapply, and all balances, credit limits, etc. carried over without issue. Yes, it will show as a closed account and, if it was your card with the most longevity, it would affect your score. Given how new the apple card is, I doubt it establishes a majority of users' credit histories or is their "lengthiest" card.
Why is the credit score so important? You really only need good credit once: when you want to get a mortgage. Surely, mortgage lenders look at income vs expenses, savings, outstanding loans, and value to mortgage ratio more closely than they look at a credit score.
Nope. Credit score matters any time you apply for credit. Mortgages, car loan/lease, credit cards, home equity loan, etc. Within pretty broad ranges the outcomes are similar, but people with low credit scores are very limited in what they can get, vs people with high scores.
I'd love to see the data were they are losing money. Banks make money off of each sale and the finance charges to each customer. Credit cards are always a win, win for the banks. Goldman does have a saving bank it's called Marcus. If the Apple Card goes away PayPal Mastercard will be my main card at 2% cash back with the card and 3% online. I really like the Apple Card because of no foreign access fees when I travel outside the US.
Credit cards are not "always a win". Goldman is getting out of its consumer finance business, including Marcus.
Elon Musk dreams of turning X into the “everything app” including financial services. He will fail. But Apple will succeed — the everything app will just be the iPhone plus Apple services.
Whatever. I really don't care about the Apple Card that much. We own 1 AMEX card. 4 Visa credit. 2 Visa debit. 2 Mastercards (including Apple). 1 TD Bank. Zero credit card debt and FICO scores from 815-850.
My guess the reason GS lost money was 1) they had to hire staff to handle the new millions of transactions per day, 2) their accounting systems are programmed in cobol and run on mainframe computers, 3) these mainframe programs process data stored in IBM relational database DB2, but the cobol programs still treat the database as a flat file and dont access the data with SQL, 4) they duplicated their accounting systems just for Apple and made the minimal changes necessary to make it work without making the necessary refactoring to make it efficient.
Elon Musk dreams of turning X into the “everything app” including financial services. He will fail. But Apple will succeed — the everything app will just be the iPhone plus Apple services.
He will not fail.
lol he already failed. Lost 75 million in ad revenue with all the big advertisers not wanting to be associated with nazi content. Nobody in their right mind would trust him with their finances, except the simps, and that’s not scalable.
Apple did with the AppleCard exactly what they did with the iPhone. They found a single carrier who was willing to agree to Apple's terms to control the experience. It was brilliant for Apple and in the end good for AT&T. The thing with the credit card business is that the banks make most of their money with interest from debt. I bet that when Apple was shopping the idea around to the standard CC companies, they all ducked out because they were afraid of losing their lucrative revenue. Apple also negotiated terms with GS that they get to keep a lot of the fees. So put that together with the reduced CC debt interest and GS have been paying for the cost of the AppleCard support with little upside. It could therefore be true that GS are losing money on the venture. Along with Apple provide great tools to avoid missing payments or not paying of the monthly amount, Apple's customers tend to be in a higher earning bracket and more likely to pay off the full amount of their bill every month.
I have a feeling Apple may struggle to find a good partner for the AppleCard. They may have to give up some of the fee pie to get a bank to sign on. It's kinda sad because Apple, as usual, have perfected a user experience and resolved one of the major issues with credit cards, but the industry is not willing to give up its debt income.
Whatever. I really don't care about the Apple Card that much. We own 1 AMEX card. 4 Visa credit. 2 Visa debit. 2 Mastercards (including Apple). 1 TD Bank. Zero credit card debt and FICO scores from 815-850.
Whatever. I really don't care about the Apple Card that much. We own 1 AMEX card. 4 Visa credit. 2 Visa debit. 2 Mastercards (including Apple). 1 TD Bank. Zero credit card debt and FICO scores from 815-850.
Did you have a point besides bragging about something as mundane as a credit rating?
Nothing we can control. If they introduce fees then people will close accounts. If a company takes over from Goldman Apple will carry over the same features.
Comments
Once, eh? And how do you establish credit if you only need to establish an excellent credit score if you only worry about when you need to get your mortgage?
Oddly, you have ignoring refinancing, purchasing another home/property/upgrade, purchasing a vehicle, auto insurance, and countless other ways in which your credit score is used to determine if you are a statistically safe bet, but I'm also not surprised as you've now been on several threads regarding this card making foolish statements.
For example, if you have a card that you opened up 10 years ago as your only card you have a credit age of 10 years, but if you then opened up 4 more cards to today as soon as those cards are reported to your credit bureaus your credit age would drop to the mean average of 2 years. This will shown by Credit Karma and others as Oldest Account, Newest Account, and the Average Age. This has a medium impact on your overall score.
PS: I suggest everyone create accounts and FREEZE their credit from all the major bureaus. This is different from LOCKING your credit for a free from the major bureaus. This is help ensure that your info — which is very likely on the dark web already — can't be used to open up new lines of credit without your express efforts to unfreeze your credit to allow a credit check to occur. Data is still reported without interruption even when your credit is frozen.
Credit cards are not "always a win". Goldman is getting out of its consumer finance business, including Marcus.
We own 1 AMEX card.
4 Visa credit.
2 Visa debit.
2 Mastercards (including Apple).
1 TD Bank.
Zero credit card debt and FICO scores from 815-850.
The thing with the credit card business is that the banks make most of their money with interest from debt. I bet that when Apple was shopping the idea around to the standard CC companies, they all ducked out because they were afraid of losing their lucrative revenue.
Apple also negotiated terms with GS that they get to keep a lot of the fees. So put that together with the reduced CC debt interest and GS have been paying for the cost of the AppleCard support with little upside. It could therefore be true that GS are losing money on the venture.
Along with Apple provide great tools to avoid missing payments or not paying of the monthly amount, Apple's customers tend to be in a higher earning bracket and more likely to pay off the full amount of their bill every month.
I have a feeling Apple may struggle to find a good partner for the AppleCard. They may have to give up some of the fee pie to get a bank to sign on. It's kinda sad because Apple, as usual, have perfected a user experience and resolved one of the major issues with credit cards, but the industry is not willing to give up its debt income.