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Original poster
Apr 12, 2001
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As is common with most credit cards, the Apple Card's interest rate on overdue balances is steadily rising as the Federal Reserve continues to raise its benchmark overnight interest rate in an attempt to slow inflation in the United States.

apple-card-1-iPhone-13.jpg

As of July 1, the Apple Card's variable APRs now range from 12.49% to 23.49% based on creditworthiness, compared to 11.74% to 22.74% previously. This is in line with the Fed's 0.75 percentage point increase to its overnight rate in June.

Apple Card interest rates were as low as 10.99% to 21.99% for much of 2020 and 2021 as the Fed lowered rates in response to the COVID-19 pandemic.

According to The Wall Street Journal, the Fed is expected to announce another 0.75 percentage point increase to its overnight rate later today, which means the Apple Card's APR range will likely see another increase to 13.24% to 24.24% based on creditworthiness. This would be the Apple Card's highest interest rate range since 2019.

All in all, if you are carrying an overdue balance on your Apple Card, be aware that interest charges have been increasing and will cost you extra.

Apple Card remains limited to the United States.

Article Link: PSA: Apple Card's Interest Rate is Rising as Fed Battles Inflation
 
Last edited:

PinkyMacGodess

Suspended
Mar 7, 2007
10,271
6,226
Midwest America.
Interest is irrelevant pay in full each month if you find yourself paying interest switch to cash/debit and pay it off ASAP you will not come out ahead with 1-2% rewards like most people seem to think.

Yes, those 'rewards' are crazy. Spend $100 and get 2% back? Hey, and you pay 100% of that cost first. What a con job...


EDIT: I'm surprised so many people are falling for that ploy! It definitely hit a nerve, my comment... It's like buying $150 of stuff you don't need to get 'free shipping'. I've done that a few times, and it's a joke. I had one order that was like 5 bucks short,a nd they would not budge, yet the cheapest thing they had was over 20 bucks. Shipping was $15. What a sick joke...
 
Last edited:

BootsWalking

macrumors 68020
Feb 1, 2014
2,270
14,203
As is common with most credit cards, the Apple Card's interest rate on overdue balances is steadily rising as the Federal Reserve continues to raise its benchmark overnight interest rate in an attempt to slow inflation in the United States. As of July 1, the Apple Card's variable APRs now range from 12.49% to 23.49% based on creditworthiness, compared to 11.74% to 22.74% previously. This is in line with the Fed's 0.75 percentage point increase to its overnight rate in June.

Just for reference, the current Federal Reserve Fed Funds rate is 1.58%, which includes all the recent interest rate increases. Yet credit card rates are 12% to 23%. This isn't unique to Apple's card but demonstrates how twisted and corrupt the financial industry is in our country. Cheap money is handed out but only to banks and they in turn lend that out at 20%. Must be nice to be one of the chosen financial businesses who are virtually guaranteed by the Fed to make a profit.
 

chairguru22

macrumors 6502a
May 31, 2006
661
154
PA
I owe a little bit and pay the interest on it in order to increase my credit score. Whenever I pay in full, Apple and Credit Institutions think of me as a dead beat and it hurts my score. After I pay off what I owe though I’m just going to switch to my debit card for August.
I don’t think it works like that. My credit score is fine and I pay off in full every month. Save yourself the money.
 

mansplains

macrumors 6502a
Jan 8, 2021
864
1,347
While I disagree with some of Ramsey's financial advice, paying off debt and avoiding credit use is a huge step forward. Thankfully I don't have to use my credit cards, I only use them for better fraud safeguards (as debit is awful in this regard) and to maintain my excellent credit. I only use my Apple Card for installments with Apple, so interest increases don't affect me. However, it really sucks when you have no other option but to incur interest penalties to make ends meet. The compound interest on credit cards buries you deeper. My brother opted to take some personal loans to pay off his credit years ago and he's still struggling.
 

jent

macrumors 6502a
Mar 31, 2010
893
568
I owe a little bit and pay the interest on it in order to increase my credit score. Whenever I pay in full, Apple and Credit Institutions think of me as a dead beat and it hurts my score. After I pay off what I owe though I’m just going to switch to my debit card for August.
I think this is a widely held myth. I don't know where it came from but I would recommend always paying in full.
 

Mlrollin91

macrumors G5
Nov 20, 2008
14,125
10,114
I owe a little bit and pay the interest on it in order to increase my credit score. Whenever I pay in full, Apple and Credit Institutions think of me as a dead beat and it hurts my score. After I pay off what I owe though I’m just going to switch to my debit card for August.
You can carry a balance at the end of the statement and not pay interest. As long as you pay off the previous statement balance before the following statement closes, you won’t pay interest but it will still show that the card is being used. The statement balance is reported.

It’s been long proven as a myth that carrying a balance and paying interest increases your credit score.

https://www.consumerfinance.gov/about-us/blog/credit-score-myths-might-be-holding-you-back-improving-your-credit/#:~:text=Paying%20off%20your%20entire%20balance,you're%20also%20paying%20interest.
 

Premium1

macrumors 65816
Jan 26, 2013
1,414
1,682
I owe a little bit and pay the interest on it in order to increase my credit score. Whenever I pay in full, Apple and Credit Institutions think of me as a dead beat and it hurts my score. After I pay off what I owe though I’m just going to switch to my debit card for August.
Which is so dumb. Pay off everything on time? Let's knock down that credit score. it should be the opposite, but credit scores are another scam of financial institutions.
 

cateye

macrumors 6502a
Oct 18, 2011
641
2,497
Can't imagine why anyone would pay 13%+ interest on something.
Because people are constantly spending beyond their means. There is never a justification for carrying a balance on a credit card with their usurious rates. Pure robbery, and a free money gift from you to the credit card company to pad their profits. Save, then buy. Can’t save? Then you can’t afford it.
 

mikethemartian

macrumors 65816
Jan 5, 2017
1,483
2,239
Melbourne, FL
As is common with most credit cards, the Apple Card's interest rate on overdue balances is steadily rising as the Federal Reserve continues to raise its benchmark overnight interest rate in an attempt to slow inflation in the United States. As of July 1, the Apple Card's variable APRs now range from 12.49% to 23.49% based on creditworthiness, compared to 11.74% to 22.74% previously. This is in line with the Fed's 0.75 percentage point increase to its overnight rate in June.

Just for reference, the current Federal Reserve Fed Funds rate is 1.58%, which includes all the recent interest rate increases. Yet credit card rates are 12% to 23%. This isn't unique to Apple's card but demonstrates how twisted and corrupt the financial industry is in our country. Cheap money is handed out but only to banks and they in turn lend that out at 20%. Must be nice to be one of the chosen financial businesses who are virtually guaranteed by the Fed to make a profit.
Credit cards are unsecured loans. If you want to pay a lower interest rate get a loan where you have to put forth collateral.
 
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DocMultimedia

macrumors 68000
Sep 8, 2012
1,598
3,721
Charlottesville, VA
I owe a little bit and pay the interest on it in order to increase my credit score. Whenever I pay in full, Apple and Credit Institutions think of me as a dead beat and it hurts my score. After I pay off what I owe though I’m just going to switch to my debit card for August.
Not true. I haven't had a balance on my credit cards in decades, and my current score is over 840. Most banks will now show you exactly what causes a monthly change in your score. Mine took a minor ding when I had a credit check done for a new credit card, and they showed that as the reason. Very clear.
 

centauratlas

macrumors 68000
Jan 29, 2003
1,825
3,772
Florida
I owe a little bit and pay the interest on it in order to increase my credit score. Whenever I pay in full, Apple and Credit Institutions think of me as a dead beat and it hurts my score. After I pay off what I owe though I’m just going to switch to my debit card for August.

You may want to check on that. I use whatever card gives the best rewards - Eg Apple Card for its 3% where available. Other cards like 2.62% minimum. But pay it off every month and my score is 839-850 depending on where I look.

I expect that just charging and paying it off in full will help your score.
 
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