Apple Apple Event It's not enough that your iPhone stores your credit card information. Apple wants to be on your physical card too. Apple on Monday introduced Apple Card, a new credit card that will live both virtually in Apple's Wallet app and in the physical world as a minimalist-designed, laser-etched titanium card. The virtual card will become available in the US this summer. Now playing: Watch this: The Apple Card is Apple's new no-late fee credit card The tech giant said it sought to toss out many of the things people don't like about credit cards by doing away with late fees, annual fees and international fees, as well as penalty interest rates. "While we all need them, there are things about the credit card experience that could be so much better," Apple CEO Tim Cook said at a press event Monday while introducing Apple Card. Looking to turn heads in the payments world, Apple will offer cash-back rewards daily to Apple Card customers, a change from monthly rewards from most other cards. Customers will be able to get 3 percent cash back for purchases made directly with Apple, 2 percent via the virtual card and 1 percent when using the physical card. Apple's announcement comes about four years after the company introduced Apple Pay, a service that was pitched as a way to kill off your wallet and physical credit cards, instead letting you pay with your phone. "People have dreamed of replacing these for years," Cook said of credit cards during a 2014 press event that included the unveiling of Apple Pay. He pointed out then that cards are easy to lose and cumbersome to use. But adoption of mobile payments like Apple Pay have been slow. Less than a third of iPhone owners have used Apple Pay at least once, according to a study by PYMNTS.com. That situation, even after years of the company pushing Apple Pay to more retailers and websites, likely caused Apple to decide it needed to do something else if it wanted to grow in payments and build up usage of its mobile wallet. It also follows along Apple's plans to bolster the services it offers you. The company already offers a streaming music service, cloud storage and games and apps. And that's how what was once old -- and mocked by Tim Cook -- is new again for Apple. "Frankly, I'm underwhelmed," Ted Rossman, industry analyst at CreditCards.com, said in a statement Monday. He added that customers will likely get more cash back and without having to use Apple Pay regularly with a card like the Citi Double Cash, which offers 2 percent cash back on all purchases. Apple teamed up with Goldman Sachs and Mastercard to release the new card, which will be accepted worldwide. The new partnership will allow Goldman to continue growing its customer base into the mainstream, after it's previously catered to businesses and wealthy clients. The bank has already introduced Marcus, a site offering online consumer banking and loans. First published at 10:45 a.m. PT. Updated at 12:18 p.m. PT: Adds more background throughout.<doc-sep>Apple today revealed a brand new service called "Apple Card," a new digital and physical credit card that users will be able to sign up for right from their iPhone. Apple says this sign-up process takes just a few minutes and then they can start using the ‌Apple Card‌ right away in stores, in apps, or online worldwide. Apple partnered with Goldman Sachs and Mastercard for ‌Apple Card‌. After spending, ‌Apple Card‌ will give users simple real-time views of their latest transactions and balance in the Wallet app. ‌Apple Card‌ uses machine learning and Apple Maps to label transactions with merchant names and locations. Purchases are then automatically totaled and color coded through categories like Food and Drinks, Shopping and Entertainment, and more. At the end of each week and month, the Wallet app will show what users spent to help visualize their past finances. The company will also provide 24/7 customer support through Messages. Anyone who uses ‌Apple Card‌ will receive a percentage of every purchase amount back as "Daily Cash," the card's rewards program. Every time users pay with ‌Apple Card‌ they will receive 2 percent Daily Cash back, and if they make a purchase directly with Apple they'll get 3 percent Daily Cash back. Daily Cash is immediately added to the user's Apple Cash card in the Wallet app, and can be used anywhere Apple Pay is accepted. play ‌Apple Card‌ has no fees associated with it, and the company says that "‌Apple Card‌’s goal is to provide interest rates that are among the lowest in the industry and if a customer misses a payment, they will not be charged a penalty rate." As with Apple's other services, the company promises that ‌Apple Card‌ is completely secure and private. A unique card number is created on ‌iPhone‌ for ‌Apple Card‌ and stored safely in the device’s Secure Element, a special security chip used by ‌Apple Pay‌. Every purchase is secure because it is authorized with Face ID or Touch ID and a one-time unique dynamic security code. The unique security and privacy architecture created for ‌Apple Card‌ means Apple doesn’t know where a customer shopped, what they bought or how much they paid. There will also be a physical ‌Apple Card‌ for shopping at locations where ‌Apple Pay‌ is not accepted. The card is made out of titanium, has no card number, no CVV, no expiration date, and requires no signature. ‌Apple Card‌ launches in the United States this summer.<doc-sep>
At Apple’s “show time” services event today, it announced a new Apple Card credit card, promising to improve things about the credit card experience with simpler applications, no fees, lower interest rates, and better rewards. To get an Apple Card, users will be able to sign up on their iPhone in the Apple Wallet app and get a digital card that they can use anywhere Apple Pay is accepted “within minutes.” Customers will also be able to track purchases, check balances, and see when their bill is due right from the app. There will be a physical titanium card, too, but there’s no credit card number, CVV, expiration date, or signature. All of that authorization information is stored directly in the Apple Wallet app. Apple also says that it’ll use machine learning and Apple Maps to label stores that you use in the app, and use that data to track purchases across categories like “food and drink” or “shopping.” Instead of a points-based reward program, Apple Card gives cash back rewards in the form of Daily Cash, which is applied straight to your Apple Card to spend or put toward your purchases. Apple is offering 2 percent cash back on purchases made through Apple Pay using an Apple Card, and purchases from Apple will get 3 percent cash back. Purchases made through the physical card will get just 1 percent cash back, though. As rumored, Apple is partnering with Goldman Sachs for Apple Card, with Mastercard handling payment processing. Additionally, the company is promising that there will be “no late fees, no annual fees, no international fees, and no over limit fees” with the Apple Card and “lower interest rates” with no penalties for missing payments, with APR rates ranging from 13.24 percent to 24.24 percent based on credit. (The company also notes that “late or missed payments will result in additional interest accumulating toward the customer’s balance.”) Like many of Apple’s products, privacy is a big push here. “Apple doesn’t know what you bought, where you bought it, and how much you paid for it,” said Jennifer Bailey, VP of Apple Pay. All of the spending tracking and other information is stored directly on the device, not Apple’s servers. The company also promises that “Goldman Sachs will never sell your data to third parties for marketing and advertising.”