How to avoid or lower Apple Card interest charges

Learn how to pay off your Apple Card bill to avoid or lower interest charges.

See the impact of interest charges

Apple Card1 makes it easy to see how much you need to pay to lower or avoid interest charges on your balance.

When you go to make a payment in the Wallet app, Apple Card automatically estimates the amount of interest you will pay depending on what payment amount you choose. It’s very easy to do this. Just choose a payment amount by dragging the payment wheel until it shows the amount you want to pay and see the estimated interest.2   This helps you understand what amount you must pay in order to lower or avoid interest charges.

Interest charge estimates are based on the selected payment, taking into account the balance remaining from your previous month, plus new purchases this month at the time you view your account balance. Estimates don't include pending transactions, credits received from disputes on purchases made during the current month, or any other purchases or payments you might make before the end of the billing period. The actual interest charge each month will appear on your monthly statement.

Watch the video to learn how to pay your Apple Card balance >

How to avoid interest charges

To avoid being charged interest, pay at least your monthly balance each month on or before the due date. On the payment wheel, you know you are paying enough if the wheel turns green (monthly balance) or blue (maximum payment). 

As an example:

  • You open an Apple Card account in June. On July 1, you receive your June statement that tells you how much your June balance is.
  • If you pay off your full June balance by July 31, then you will not be charged interest on the June balance.
  • If you pay only a portion of the June balance by July 31, then:
    • You will not be charged interest on the portion that you pay by July 31, but
    • You will be charged interest on the unpaid portion from July 1 through July 31 and this amount will carry over into August; and
    • You will be charged interest on new purchases that you make in July from the date of each purchase; and
    • The total of these interest charges will be included in your July balance, and you will continue to be charged interest on the unpaid portion of your July balance.

How your payments affect interest charges

If you pay your full monthly balance by the end of every month, you will not be charged any interest.

If you paid the prior month’s balance in full, but then you pay less than your full monthly balance by the end of the month, you will only be charged interest on the unpaid portion, if any (up until the date you pay off that amount). You can avoid seeing interest charges completely by paying your monthly balance in full by the due date for two consecutive months.

Why interest charges may still appear on the payment wheel when you have paid your monthly balance

In some cases, when you have paid the full monthly balance, you will still see interest charge estimates on the payment wheel. This happens if you previously made a payment that was less than your full monthly balance. By paying your monthly balance now, you have stopped additional interest from accruing. The payment wheel shows the interest you will be charged for the days before you paid your monthly balance. This is also known as “trailing interest”. Trailing interest is not charged until your next monthly statement and is only for the days that you had a remaining unpaid monthly balance from the prior month.

As a good way to ensure you never forget to pay at least your monthly balance, you can set up Scheduled Payments right in the Wallet app.

maximum payment screen for Apple Card

 

Make the Maximum Payment

The maximum payment represents the total balance on your account at that time minus any pending transactions. It includes all new transactions cleared in the current month. If you have accrued interest charges, these will also be included. If you pay the maximum, it can help you stop additional interest charges.

To make the Maximum Payment, follow these steps:

  1. Open Wallet on your iPhone, tap Apple Card, then tap the Pay button.
  2. Slide the wheel all the way clockwise until it turns blue and you see a star .
  3. Then tap Pay Now to make your Maximum Payment.

 

* The payment due date shown in Wallet reflects your current timezone setting on iPhone.

monthly balance payment screen for Apple Card

Pay your monthly balance

If you pay off your monthly balance each month on or before the due date, you won’t accrue interest.

To pay your monthly balance:

  1. Open Wallet on your iPhone, tap Apple Card, then tap the Pay button.
  2. Your monthly balance is automatically selected and the wheel turns green with a checkmark .
  3. Tap Pay Now to pay your monthly balance immediately. Or you can tap Pay Later.

To set up automatic recurring payments to pay off your monthly balance:

  1. Open Wallet on your iPhone, tap Apple Card, then tap the more button .
  2. Then tap Scheduled Payments, tap Continue, select Pay My Bill, then tap Next.
  3. Choose when you want to make your payment each month, then verify with Face ID, Touch ID, or your passcode.

 

* The payment due date shown in Wallet reflects your current timezone setting on iPhone.

payment screen for Apple Card

 

If you pay less than your monthly balance

If you choose to pay less than your monthly balance, Apple Card automatically estimates the interest you could be charged based on your selected payment amount. The payment wheel turns yellow or red and offers different payment suggestions to help you pay down your balance. Any remaining balance and associated interest charges carry over to the next month.

 

* The payment due date shown in Wallet reflects your current timezone setting on iPhone.

 

  1. Apple Card is issued by Goldman Sachs Bank USA, Salt Lake City Branch.
  2. Interest estimates are based on your posted account balance at the time of the estimate and do not include pending transactions or any other purchases you might make before the end of the billing period.

 

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