Apple CEO Tim Cook was DENIED his own company credit card because he is high profile and a high risk fraud target.
- The card has struggled since its introduction in 2020, with customers accusing the tech giant of holding their money “hostage” weeks earlier.
- The credit bureaus noticed the billionaire had his account because he checked several boxes that often lead to denials.
- Cook is often the target of scams and illegal impersonations and led to him being accidentally rejected.
Apple CEO Tim Cook was reportedly turned down for his own company’s credit card in association with Goldman Sachs because he was mistakenly deemed a high-risk fraud target.
The card has struggled since its introduction in 2020, last week discreetly crediting some of its savings account customers $100, after they accused the tech giant of holding their money “hostage.”
Credit bureaus noticed the billionaire had his account because he checked several boxes that often lead to denials in 2019.
Information reported that Cook is often the target of scams and illegal impersonations and led to him being accidentally rejected.
Goldman eventually dismissed the case, and Cook was able to acquire the card from his own company.
Apple CEO Tim Cook was reportedly turned down for his own company’s credit card in association with Goldman Sachs because he was mistakenly deemed a high-risk fraud target.
DailyMail.com has reached out to Apple for comment on the matter.
Ongoing problems with the Apple Card venture, which began in October 2019, have led to rumors that Goldman will try to get out of the deal, according to the New York Post.
Rising interest rates and continued pessimism about the economy have made the partnership much more costly and less profitable.
Bloomberg has reported that Goldman, led by CEO David Solomon, invested $1 billion in pre-tax losses on Apple Card.
Apple can reportedly veto any attempt by Goldman Sachs to pull out of the deal.
The company savings account is only available to those who use their credit card, Apple Card.
Customers can open one in less than a minute right from their iPhone and there’s no minimum balance requirement.
It is also free and offers a maximum balance of $250,000. And savers can freely access their money at any time, unlike many conventional accounts that limit clients to six cash withdrawals a year.
Bloomberg has reported that Goldman, led by CEO David Solomon (pictured), invested $1 billion in pre-tax losses on the Apple Card.
Ongoing problems with the Apple Card venture, which began in October 2019, have sparked rumors that Goldman will try to get out of the deal.
The return on Apple’s savings account is more than ten times the average US savings rate, which is currently a paltry 0.39 percent.
When it launched in April, it immediately garnered a lot of attention due to its competitive pricing. Sources told Forbes that around 240,000 accounts were opened during the first week of trading.
And two sources revealed that the offer attracted nearly $400 million in deposits on its first day.
Savings rates have remained woefully low compared to the cost of borrowing, with the average US yield now sitting at 0.39 percent, according to data from the Federal Deposit Insurance Corporation (FDIC).
It falls well below the Federal Reserve funds rate, which currently hovers between 5 and 5.25 percent. In theory, this figure should roughly determine the savings rates banks offer.
But Apple’s competitive deal means users can earn up to 10 times more over the course of a year.
For example, if a customer deposits $1,000 into a savings account that offers the Fed average yield of 0.39 percent and doesn’t, they would earn only $3.90 in interest over 12 months.
However, with the Apple account, they would earn $41.50 on their savings, a difference of $37.60.
