AppleInsider Staff
Some Apple Card customers eager to get their hands on the latest iPhone 13 were driven to use an alternative form of payment when preorders went live on Friday due to a now resolved iPhone Upgrade Program problem.
Apple's preorder mechanism hit a snag early this morning when an Apple Card issue prevented iPhone Upgrade Program members from completing their iPhone 13 purchase.
The problem was fixed a few hours after preorders went live, but not before a number of customers resorted to placing the charge on a different credit card, forfeiting Apple Card's 3% Daily Cash benefit. Following complaints posted to various social media platforms, it appears that Apple and Goldman Sachs are making the situation right.
AppleInsider can confirm that Apple and its banking partner will honor Apple Card's cash back incentive for customers who used a different card to bypass the iPhone Upgrade Program snafu.
One reader who contacted Goldman about the lost Daily Cash was initially told that the bank was not able to rectify the situation. In a subsequent exchange, however, Goldman said that any Apple Card holder who was unable to make an iPhone Upgrade Program purchase, and consequently turned to a different card, will be eligible to receive the 3% Daily Cash.
AppleInsider confirmed the statement with a Goldman Sachs Apple Card representative.
Those impacted by the issue will be sent an email containing details on how to obtain the benefit that can run close to $55 for iPhone Upgrade Program payments on a 1TB iPhone 13 Pro Max. While not yet confirmed, Apple Card holders might have to change the credit card on file with Citizens Bank, the financial institution handling loans for the iPhone Upgrade Program.
Apple Card rewards range from 1% to 3% cash back in the form of Daily Cash, funds that are transferred to a cardholder's Apple Cash card on a daily basis. Account holders receive 1% back on all purchases, 2% back when using Apple Pay and 3% back at select retailers including the Apple Store. As noted by Apple, iPhone Upgrade Program monthly payments are eligible for 3% cash back.
Andrew Orr
Amber Neely
William Gallagher
Christine McKee
12 Comments
The same thing happened to me while trying to pre order the iPhone 12 Pro last year. Then somehow they validated one of the charges even though none of the attempts were successful even though the only way for me to purchase the phone was through AT&T’s upgrade program. The charges were finally reversed after about 6 months waiting for Goldman to investigate the situation. They even had to reverse the charge after the waiting period ended before they were finished “Looking into the situation.”
Amazing. I tried, end of July, to use Apple Pay online with Apple Card at a building supply place and it kept getting an error. I called in to Apple Card and they didn’t see anything. We kept trying all sorts of things with the Apple Card support on the phone and me trying to check out. Finally they told me to use the card number with a normal credit card checkout, not Apple Pay (therefore going from 2% to 1%). The rep said because it was not my fault she would put in a request for me to get the extra 1% I would have gotten had the Apple Pay worked. Of course, a manager called me a day later and told me my request was denied. He offered me a $25 back instead (which was about 1/3 of the 1% — this was a large order of furnishings for my house under construction). I also used Apple Pay and a Chase card at the same place for another almost $4k of stuff the same night (my Apple Card limit wouldn’t allow everything in one Apple Card transaction as I had some Apple purchases spread over 12 months tying up some). Apple Pay online with Chase worked. Apple Pay online with Apple Card errored every time — same merchant and same evening. Yet somehow it wasn’t their fault. I’ve learned to basically just use Apple Card for Apple purchases. Use reliable cards otherwise.
Apple Card via Apple Pay has been a fail for me at regular NFC tap to pay POS terminals. Almost a dozen vendors, the card won't take... If I select a different bank's card in my Wallet, they work fine. Just the Apple Card doesn’t work.
I've texted w/ support and they don't know anything, claiming the merchant must not take Apple Card, which I know isn't true since the local merchants don't have reason to do that or even know how to do that.
There seems to be something wrong with how Goldman Sachs routes their authorization attempts.
So... I went to check on Citizens One "manage accounts" website. Hitting "Change Payment Account" gives "We cannot perform this action at this time. Please contact customer service."
I'm not sure Apple has picked the best partner here....