Experts Predict Apple Card Will Change the Game for Credit Products
When Apple launched its new Apple Card product earlier this year, experts saw it as having the potential to create a shift in the credit card industry due to the way Apple tackles customer interactions. Specifically, customers can apply and start using the card within five minutes, eliminating the need to visit a bank. Apple Pay’s introduction in 2014 kicked off the trend of digital wallets, and the all-titanium Apple Card further accelerates this fad by coupling a physical card for those who aren’t comfortable going all digital with enhanced digital capabilities.
Kalpash Kapadia, CEO of fintech company Deserve, told American Banker that he sees physical credit cards being replaced by virtual ones within five years, just like DVDs disappeared with the rise of Netflix.
In the same article, Vaduvur Bharghavan, president of Ondot, which provides technology to card issuers, described Apple Card as “a definite shift in the market.”
“Whether or not they succeed in terms of winning significant market share, they’re going to transform the way banks think in terms of offering interaction with their customers,” he said. The way consumers expect to interact with issuers has already changed and will change.”
With the new offering, those who take out a line of credit from Apple will have access to their total balance, metrics on usage, and payment information directly from their Apple Wallet.