Adapting to digital finance: Apple Card, fintech apps, and the future of savings
Today’s financial consumers live in a world where their personal finances are digitized and at their disposal 24/7. They can digitally open and fund savings accounts or investment accounts, instantly move money, view a detailed transaction history, monitor their credit score, apply for loans, and pay their bills directly from a smartphone. The below is an analysis of the adoption and usage of today’s trendiest digital savings products through the lens of the spending behavior of 2.5 million account holders across twenty U.S. based financial institutions.
A digital triumph: Apple Card’s astounding growth
In April 2023, Apple Card’s high-yield savings account emerged, brought to life through a partnership with Goldman Sachs. In a matter of months, adoption soared and they reportedly accumulated over $10 billion in deposits.
As time went on, among Apple Card users, 97 percent opted to have their Daily Cash rewards seamlessly funneled into this savings haven.
Furthermore, out of the 2.5 percent of Apple Card users who bolstered their savings, a median transfer amount of $1,750 was observed. And astonishingly, almost one in four users entrusted Apple Savings with $10,000 or more.
