Apple Card is irrelevant. It strives to become a marketing tool for an underperforming iPhone market rather than an actual credit card. | Source: AP Photo/Tony Avelar, File
By CCN Markets: The first thing to understand about Apple Card is that it is not exactly a card. Undoubtedly, the technology behemoth’s entry into the finance sector brings an aggressively white, titanium-made credit card – which has let go of the 16-digit numbers found on traditional credit/debit cards – to the forefront.
— ChampagneFelipe 🥂 (@champagnefelipe) August 12, 2019
Where Are Reward Points?
But Apple Card is irrelevant since Apple discourages users from using the actual card. Instead, the company introduces additional layers of hardware requirements, in the form of expensive iPhones and digital watches, and [literally] underpays users to use them. The move makes Apple Card appear like a byproduct in its own way, not an idiosyncratic phenomenon it has set out to become.
It is evident in how Apple’s cash-back programs work. If an average consumer uses Apple Card directly to pay for goods and services, they get 1 percent cash-back versus 2 percent when using Apple Pay mobile payment service. At the same time, consumers receive an additional 3 percent cash-back when purchasing Apple products, including App Store payments, via Apple Pay.
That makes one wonder why Apple had to go through the trouble of inventing a sleek-looking card when it was merely a backup for places that don’t accept Apple Pay. The 1 percent cash back appears like a cruel joke, especially when other credit cards offer better reward points, making Apple Card a useless addition to one’s wallet.