Financial TimesFinancial Times

Can Apple really help fix banking?

By Rana Foroohar

24 Apr 2023 · 3 min read

Editor's Note

There's an ever-closer marriage between Big Tech and big banks, argues the FT's Rana Foroohar; Apple may be particularly well placed to solve problems that have plagued traditional banking for years.

Apple has considerably more global reach and consumer trust than most banks. Is it any wonder, then, that it is slowly but surely turning into a financial institution? Even before it co-launched, with Goldman Sachs, a market-leading savings account that pays 415 times the lowest rate at old line institutions such as Chase or Bank of America, it already had its own credit card, peer-to-peer lending capacity, Wallet app and a “buy now, pay later” service that allows customers using their digital wallets to pay off their purchases — interest free — in instalments.

Meanwhile, banks last week announced a loss of $60bn in deposit outflows in the first quarter, just as Apple announced its new savings account.

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