Is the Apple Card the Best Card for Apple Purchases?
Hey friends, Phillip here from Points with Phillip! Today, let's dive into a question I've been pondering: Is the Apple Card the ultimate choice for Apple purchases?
But before we get started, please give this post a like and subscribe to my blog! Your support helps me create more content and reach a wider audience. And to my longtime supporters, a massive thank you – I truly appreciate your continued readership!
The Apple Card Deep Dive
Let's talk about the Apple Card. First off, it's undeniably the sleekest metal card I own. The minimalist design, with no visible numbers, adds to its appeal and security.
However, using the physical card only earns you 1% cash back, which is a bit of a bummer considering how nice it looks.
Here's a breakdown of the Apple Card's perks:
$0 Annual Fee: A great start!
2% Cash Back with Apple Pay: A solid reward for everyday purchases using your iPhone or Apple Watch. The cash back goes directly into your Apple Cash balance, or you can deposit it into a high-yield savings account.
3% Cash Back on Apple Purchases: This is where it gets interesting. Buying a MacBook, iPad, AirPods, or anything directly from Apple earns you a sweet 3% cash back.
0% APR on Apple Purchases: This is a huge advantage. You can choose 0% interest payments at checkout, allowing you to spread the cost without accruing interest, all while still earning that 3% cash back. Unlike the Amazon Prime Visa, where you have to pick either 5% cash back or 0% APR, the Apple Card gives you both.
Alternatives to Consider
While the Apple Card is compelling, let's explore some alternatives:
1. American Express Business Gold Card:
This card earns 4x American Express Membership Rewards points per dollar on purchases made directly with electronic retailers. That means you could earn 4x points at the Apple store compared to the Apple Card's 3% cash back.
Keep in mind:
This 4x category has a limit of $150,000 in purchases per year.
You need to be strategic about using one of your chosen categories for Apple purchases.
The American Express Business Gold card has a $375 annual fee.
If you're not planning to use the 0% APR offer from Apple, and you can cash flow your purchases, the Business Gold Card could be more rewarding due to the potential value of Amex points.
Let's dive deeper. The $375 annual fee is a significant consideration. However, the card offers:
$20 Monthly Flexible Business Credit: Can be used at office supply stores or for GrubHub orders. That's $240 annually.
Walmart+ Credits: If you don't have the Amex Platinum, this card can cover the monthly Walmart+ subscription ($12.95), offering benefits like fuel discounts and free delivery.
Generous Sign-Up Bonuses: Keep an eye out for offers up to 150,000 or even 200,000 points. I personally got a 150,000 point offer after being in pop-up jail for the 200k offer.
The Business Gold card also comes with 0% APR on purchases for the first 6 months.
2. Robinhood Gold Card:
This card offers a flat 3% cash back on everything, deposited immediately into your rewards account. This could be a great option if you want flexibility and the ability to invest your rewards quickly.
However, be cautious:
It has a deferred interest pay-over-time option, which can be risky.
The interest rate is very high (35% in my case), so avoid carrying a balance.
3. 2x Earning Cards (Catch-All Options):
Capital One Venture Card: 2x miles on all purchases, $95 annual fee.
Fidelity Rewards Visa: 2% cash back, which can be automatically redeemed into a Fidelity cash management, brokerage account, IRA, or 529 plan.
These are solid choices when you don't have a specific card offering bonus rewards for a particular purchase.
What's Your Take?
So, what do you think is the best card for Apple purchases? Let me know in the comments below! My wife and I might be getting a new iPhone soon, and with Apple events on the horizon, I'm curious to hear your strategies.
Until next time, have a great day!