Apple announces credit card for iPhone users, all you need to know

Apple on Monday announced its own credit card called Apple Card that will be available to customers this summer at an event in Cupertino, California. The company is going to offer the card to all its Apple Pay customers. Apple 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.” The card is partnered with Goldman Sachs to bring out a new suite of functionality.

In addition to the new Apple credit card, Tim Cook also announced a subscription gaming service called Apple Arcade, a new streaming service called Apple TV Channels, a subscription news service called Apple News+.

Apple Card also offers a clearer and more compelling rewards program than other credit cards with Daily Cash, which gives back a percentage of every purchase as cash on customers’ Apple Cash card each day.

Apple claims that Apple Card, unlike most physical credit cards, is a lot more secure because it's virtual character. 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.

“Apple Card builds on the tremendous success of Apple Pay and delivers new experiences only possible with the power of iPhone,” said Jennifer Bailey, Apple’s vice president of Apple Pay. “Apple Card is designed to help customers lead a healthier financial life, which starts with a better understanding of their spending so they can make smarter choices with their money, transparency to help them understand how much it will cost if they want to pay over time and ways to help them pay down their balance.”