Apple Card in Canada: Will Canada Ever Get the Apple Card

Posted on June 28, 2022 by Dylan Callaghan

You'd be hard-pressed to find a stronger brand in the world right now than Apple. The company's consistent innovation along with its overall product strength makes people want to own an Apple product like an iPhone, MacBook, or an Apple Watch.

However, today we're not going to be talking about any of the company's tech products. Instead, we're going to be focusing on the Apple Card. Which as of right now, isn't available in Canada. However, we have little doubt that it will eventually make its way north of the border. The company has trademarked 'Apple Cash' and 'Apple Card' here in Canada.

And in this case, you're going to want to be in the loop on how Apple's credit card is changing the game when it comes to traditional lending and credit cards.

So, what exactly is the Apple Card?

In Apple's words, the Apple Card is a complete reinvention of the credit card. And, as you move through this article, you'll understand why.

Instead of a typical Visa or Mastercard that you would receive in physical form, the Apple Card lives on your iPhone. Keep in mind, that they do still send you a physical card, with a unique touch to it. It is made of titanium, primarily for its beauty and sustainability. I'm not sure about you, but I think a titanium card is pretty cool.

From your iPhone, you'll be able to see your card balance, when your payment is due, what you need to pay, along with your weekly activity to make sure you don't overspend.

However, the benefits of the Apple Card versus a credit card or credit lines don't just stop at the interface being exceptionally user-friendly. There are a significant amount of benefits to the Apple Card that should no doubt draw in many owners of Apple products. Let's go over them now.

And by the way, the farther we get down this list, the juicier the features are. So, don't miss out!

The Apple Card's ease of use

The ability to hook your credit card up on your particular devices and pay with ease is one of the main features of the Apple Card. Remembering your 16-digit number, card information, or fumbling for credit cards every time you make a purchase is frustrating and can often lead to a disappointing customer experience. 

For Apple Card holders, if the website can accept Apple Pay, the payment is seamless. And if it doesn't, you'll just need to add the card number that is stored on your devices manually. If you're using Safari, Apple will go a step further and auto-input the numbers for you.

Apple's continued market-leading privacy

It is well known that Apple is one of the strongest companies on the planet when it comes to protecting their customer's privacy. The Apple Card is no different. To use the card, you'll have to utilize things like Face ID, Touch ID, and unique transaction codes.

The company has made it so the only person that should be able to use the Apple Card via Apple Pay is the rightful owner, and any participants they have permitted to. The physical card doesn't even contain any numbers on it.

The company (Goldman Sachs in this case) is required to utilize your data itself so that you can use the card, but your data is not sold or used for advertising purposes.

The simplicity of Apple Card's signup process

Signing up for a credit card is a pain in the you know what, especially for your first credit card. Endless documents, credit checks, waiting 4 weeks for the card in the mail. It is all quite cumbersome. The Apple Card seeks to end this process.

Considering the card practically lives on your iPhone, it takes less than 60 seconds to signup.

The Apple Card's true "no fee" structure

What if I told you there was a credit card that didn't charge late fees? You'd think I was crazy. However, for the Apple Card, this is the case. Not only does the card not charge any annual fees, over-the-limit fees, or foreign transaction fees, it doesn't even charge you a late fee when you miss a payment.

Now, make no mistake about it. When you miss a payment, you will incur additional interest payments on that overdue balance. However, many financial institutions can charge up to $50 in late payment fees.

Transparency at its finest

I have never witnessed a credit card that encourages users to make the largest payment possible. Most of them just highlight your minimum payment, without highlighting the fact it will take you decades to pay off the balance if you maintain that minimum payment.

Apple Card on the other hand will show you the interest you'll be paying depending on your payment amount. So, you'll have a full understanding of how much it will cost you to just squeak by on that minimum payment, or pay a larger chunk.

Apple Card is a true cash back card

Unlike many typical cash-back credit cards that will either give you an annual check or potentially a cash credit that expires after a certain amount of time, the Apple Card combined with the Apple Cash card is the perfect combination to get cash back on everyday purchases.

The rewards are cold hard cash and are deposited right onto your Apple Cash card in your wallet on the same day, with daily spending resulting in Daily Cash hitting your wallet. You can then use this cash to pay off your Apple Card balance, buy an iPad, MacBook Pro, or Apple Gift Card, buy some music on iTunes, a game inside of the app store, and so much more.

If you use the Apple Card on Apple devices and products, you are entitled to 3% Daily Cash back. If you use your Apple Card via Apple Pay on non-Apple purchases, you'll receive 2% Daily Cash back.

Partnerships with some strong brands

Adding to the Daily Cash back portion above, you'll receive a bonus in the form of 3% cash back when you shop at major merchants, as long as you use Apple Pay. According to Apple, the companies that qualify right now are:

  • Ace Hardware
  • Exxon
  • Duane Reade
  • Nike
  • T-Mobile
  • Uber Eats
  • Panera Bread
  • Uber
  • Walgreens

It will be particularly interesting to see if the card comes to Canada which Canadian companies will partner up with Apple to provide stronger rewards for users. Keep in mind, that you could be reading this a month after publication or a year after publication. So, make sure to check Apple's website to see if they've added or removed any companies.

Easy family usage with Apple Card Family

Even if you manage to land yourself a no-fee credit card from a traditional bank, there is a chance that if you want an additional card for a spouse or relative, you'll be charged to do so. With Apple Card, this isn't the case.

And not only does the Apple Card allow you to add Co-owners to the card, which share the benefits and responsibilities of the account, but you could add your children or other relatives to the card as participants. 

If they are over the age of 13, you can limit their spending yet still collect the Daily Cash back the card offers. If you have a participant over the age of 18 years old, this can also help build their credit.

This is an outstanding feature that not only will allow parents to keep an eye on their children's spending habits, but also allow the children to build experience and become more financially responsible.

Interest-free Apple products

I'm not a massive fan of buy now pay later systems. However, that doesn't mean I don't acknowledge their popularity. And, so does Apple. So, it allows Apple Card holders to set up monthly payments on their Apple products and pay no interest. You can do this via their Apple Card Monthly Installments, or ACMI.

It's important to keep in mind that as of right now, this is only available in the United States. So, if the Apple Card makes its way to Canada, this may not come with it immediately. And, it's also important to note that this is interest-free purchases on Apple products.

Apple rewards responsible purchasers

As per the company's footnotes about interest, its variable APR (Annual Percentage Rate) can range from 11.74% to 22.74% based on creditworthiness. What this means is Apple will reward those with strong credit histories by charging them a lower rate of interest. This is a rarity, and something you don't often see from major credit card companies. Typically, their interest rates are a steady number regardless of credit history.

A credit card/budgeting hybrid tool

Apple Card's reporting system and spending habit tools make for great transparency and can help consumers decide where they want to add or trim spending. 

If you've ever taken a look at your financial statements and saw purchases from random numbers such as I72362-A2, then you realize how hard it can be to track particular purchases without contacting your credit card company. Apple Card on the other hand integrates Apple Maps to show you exactly where the transaction took place. So, there are no more merchant codes for you to decipher and no guessing as to where a purchase took place.

Along with this, the app tracks your spending in particular categories and colour codes them, displaying total purchases in each particular area so you can see where you're overspending.

When will the Apple Card be available in Canada?

As mentioned at the start of this article, Apple Card is not currently available in Canada. However, there are some activities taking place that lead us to believe it is a matter of when, not if, it will be coming to Canada.

For one, as we said before, the company has trademarked 'Apple Card' and 'Apple Cash' in Canada. This could be a preventative measure, but it isn't done unless you at least think you might be interested in expanding into the country.

And secondly, Tim Cook, the CEO of Apple, has stated that the intention is to expand the availability of Apple Card to many more countries beyond the United States. 

Overall, Canadians should be excited about this product potentially heading north

As an Apple owner myself, I'm excited about the potential the Apple Card brings with it. As technology advances, we are getting higher quality products like this that not only enrich our lives, but allow us to be financially prudent, and gain access to strong rewards along the way.

Many smaller banks here in Canada such as Tangerine and Equitable Bank have been putting pressure on traditional banks to cut the fees and start offering better products including some of the best virtual credit cards in Canada. It looks like Apple has begun to do that on the credit card side of things. And as more and more terminals and companies adopt Apple Pay, it is only a matter of time before pretty much every purchase one makes with the Apple Card will qualify for cash back.

Bottom line, we're keeping a close eye on when the Apple Card will make its way to Canada and we will update this piece when it does!

Disclaimer: The writer of this article or employees of Stocktrades Ltd may have positions in securities listed in this article. Stocktrades Ltd may also be compensated via affiliate links in this post.

Dylan Callaghan

About the author

Dylan is the co-founder of Stocktrades.ca and an avid self-directed investor. He holds a portfolio of Canadian growth and dividend growth stocks, and believes that anyone, regardless of financial status, stands to benefit from investing in the stock market. His ultimate goal with his writing and the continual development of Stocktrades.ca is to create a resource that helps Canadians, and investors from around the world, make more money and retire earlier.

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