Apple Pay to Be Treated Like a Bank With Federal Scrutiny in the U.S.

[chrono1081]

So you have the Apple Card and use the Apple savings account?

Yes. Literally all the time. I got them as soon as they came out. It's a Goldman Sachs account, they tell you this when you agree to the terms and conditions.

 

[ronno]

Yes. Literally all the time. I got them as soon as they came out. It's a Goldman Sachs account, they tell you this when you agree to the terms and conditions.

Well, maybe you’ve had no issues, which is good, but just because they say it’s “backed by a bank” doesn’t mean it’s going to operate like a bank…as I described I had massive delays in the beginning between Apple and the bank being uncoordinated. This does not happen between two normal banks in my experience.
Looks like Morgan Stanley wants to get out of business with Apple anyway.

 

[chrono1081]

Well, maybe you’ve had no issues, which is good, but just because they say it’s “backed by a bank” doesn’t mean it’s going to operate like a bank…as I described I had massive delays in the beginning between Apple and the bank being uncoordinated. This does not happen between two normal banks in my experience.
Looks like Morgan Stanley wants to get out of business with Apple anyway.

Apple Pay is literally just a UI and some payment rules. It depends on your bank transferring money. My bank transferred 10k instantly but said it would be 3-4 business days to verify the rest. Some other peoples banks transferred instantly, other people ran into long delays. Apple isn't even a middle man here it literally just goes through Goldman Sachs using Apples UI.

Withdrawing from Apple Pay is only a few hours for me, but if you have PNC I know it takes a few days, there's no magic rule it's all how the two banks communicate and what rules they have in place.

 

[amartinez1660]

I'm ambivalent on this. On one hand, yes, financial institutions should be strictly regulated, we all saw what can happen when they aren't.

At the same time this can be seen as further expansion of the surveillance state, especially concerning considering the incoming administration.

Suppose we'll need to see how things play out like always.

I can get behind this sentiment and then some more.

Many are assuming that being treated as a financial institution means more regulation, however, financial institutions are the ones to get away with murder over and over again.

They get bailed out constantly, can print money out of thin air (like lending money by having $0 to back it up), etc.

The market crashes, real state chaos of 2008, the recent collapses due to bank runs of not long ago… all of those things are “thanks” to financial institutions. Toronto Dominion Bank (although Canadian) was found guilty for engaging in money laundering activities. Many just receive a slap on the wrist.

I’m not saying it’s all strictly bad, but that type of preferential treatment could also mean that the government does indeed has a lot to gain by keeping them around.