Opening an Apple Card will lower your credit score by a small amount in the short term, then help it recover and potentially improve over time
When you open an Apple Card, the issuer (Goldman Sachs) pulls your credit report to decide whether to approve you. This hard inquiry typically reduces your score by 5 to 10 points and stays on your report for 12 months. At the same time, a new account appears on your credit file, which also lowers your score temporarily because it reduces your average account age and adds a new line of credit with no payment history yet.
The damage is usually temporary. After 6 to 12 months of on-time payments, the score drop from the hard inquiry fades. The new account itself becomes less of a penalty as it ages. If you use the card responsibly — keeping your balance low relative to your credit limit and paying on time every month — your score will recover and eventually climb higher than it was before you opened the card.
Key Takeaways
- A hard inquiry when you open the card typically lowers your score by 5 to 10 points and remains visible for 12 months.
- Opening a new account reduces your average account age and lowers your score initially, but this penalty weakens as the account ages.
- Apple Card reports to all three credit bureaus (Equifax, Experian, and TransUnion), so the impact shows up on your full credit file.
- Consistent on-time payments and low credit utilization will reverse the initial score drop within 6 to 12 months and build your score higher over time.
- The long-term benefit of an additional credit account outweighs the short-term penalty if you manage the card responsibly.
How the Hard Inquiry Affects Your Score
When you submit an Apple Card process, Goldman Sachs requests your credit report from one or more of the three major bureaus. This is called a hard inquiry (or hard pull). Unlike a soft inquiry — which happens when you check your own score or when a company pre-screens you for an offer — a hard inquiry is visible to other lenders and counts against your score.
The impact is modest but real. Most scoring models dock 5 to 10 points per hard inquiry. If you have multiple hard inquiries in a short window (within 14 to 45 days, depending on the model), they may count as a single inquiry rather than separate ones, which limits the damage. The hard inquiry stays on your report for 12 months but stops affecting your score after about 3 to 6 months.
If your score is already low or you have few accounts, the hard inquiry will be more noticeable. If your score is strong and you have established credit history, the dip will be smaller relative to your overall profile.
The New Account Penalty and How It Fades
Opening the Apple Card adds a new account to your credit file. Credit scoring models penalize new accounts because they have no payment history and they lower your average account age — a factor that makes up about 15% of your FICO score. A brand-new account with zero history looks riskier than an account that has been open for years.
This penalty is steepest in the first few months. As the account ages and you build a track record of on-time payments, the penalty shrinks. By the time the account is a year old, it stops being a liability and starts being an asset — it now demonstrates that you can manage multiple lines of credit responsibly.
The longer you keep the Apple Card open, the more it helps your score. After several years, an older account with a perfect payment history is one of the strongest signals you can have on your credit file.
Payment History and Credit Utilization Matter Most
The two biggest factors in your credit score are payment history (35% of your FICO score) and credit utilization (30% of your FICO score). The Apple Card will help both of these if you use it correctly.
Payment history is straightforward: pay your bill on time, every month, and your score climbs. Apple Card reports to all three bureaus, so on-time payments build your file across the board. A single late payment will hurt you far more than the initial hard inquiry, so set up automatic payments or calendar reminders.
Credit utilization is the percentage of your available credit that you are actually using. If your Apple Card has a $5,000 limit and you carry a $500 balance, your utilization on that card is 10%. Scoring models prefer utilization below 30% and reward utilization below 10%. Because the Apple Card is a new account, it adds to your total available credit, which can lower your overall utilization ratio even if you don't change your spending. This is one of the long-term benefits of opening a new card.
Why Apple Card Is Different From Other Cards
The Apple Card itself does not affect your credit score differently than any other credit card would. The hard inquiry, new account penalty, and payment history reporting all work the same way. However, Apple Card has a few features that can make credit management easier or harder depending on how you use them.
The card offers no annual fee and no foreign transaction fees, which means there is no cost to keeping it open long-term. This matters because closing an old account hurts your score by removing available credit and shortening your average account age. With Apple Card, you can keep it open indefinitely without paying anything, which means the account will only help your score as it ages.
The card also offers cash back rewards (up to 3% depending on where you shop), which can offset the cost of carrying a small balance if you ever need to. However, carrying a balance to earn rewards is not a good strategy — the interest you pay will far exceed the cash back you earn. Pay your full balance every month.
Timeline: When Your Score Recovers
The score impact of opening an Apple Card follows a predictable pattern. In the first week, the hard inquiry and new account both hit your score, creating a dip of 10 to 25 points depending on your starting score and credit profile. This is the worst moment.
Over the next 3 to 6 months, the hard inquiry's impact fades. Your score begins to recover. If you make on-time payments and keep your balance low, you will see steady improvement.
By month 6 to 12, the hard inquiry stops affecting your score entirely. The new account is no longer brand-new, and your payment history is now several months long. Most people see their score return to its pre-process level or higher by this point.
After 12 months, the account is genuinely established. It now contributes positively to your score through payment history and available credit. If you have maintained on-time payments and low utilization, your score will be higher than it was before you opened the card.
When Opening an Apple Card Might Not Be Worth It
Opening a new card makes sense if you plan to use it regularly and keep it open for years. The short-term score hit is worth the long-term benefit. However, there are situations where it might not be the right move.
If you are planning to explore for a mortgage, auto loan, or other major loan within the next 3 to 6 months, opening a new card now will lower the score lenders see during that window. The hard inquiry and new account penalty could cost you a better interest rate. In this case, wait until after you close on the loan.
If you already have many recent hard inquiries or new accounts, adding another one will compound the damage. Space out credit applications by at least 3 to 6 months when possible.
If you know you will not use the card and will close it within a year or two, the score benefit never materializes. A card you close after 18 months helps your score less than a card you keep open for 10 years.
Frequently Asked Questions
How much will my score drop when I open an Apple Card?
Most people see a drop of 10 to 25 points when ready after opening the card, depending on their starting score and credit profile. The hard inquiry typically accounts for 5 to 10 points, and the new account accounts for the rest. The exact impact varies by scoring model and bureau.
Does Apple Card report to all three credit bureaus?
Yes. Goldman Sachs reports Apple Card activity to Equifax, Experian, and TransUnion. This means your payment history and account age will show up on your full credit file across all three bureaus, not just one.
Will my score recover if I pay late once?
A single late payment will hurt your score far more than the initial hard inquiry — typically 100 points or more, depending on how late it is. A 30-day late payment is less damaging than a 60-day or 90-day late payment. Set up automatic payments to avoid this risk entirely.
Should I close my Apple Card after a year to stop the new account penalty?
No. Closing the card will hurt your score more than keeping it open. Closing removes available credit, raises your utilization ratio, and shortens your average account age. Keep the card open indefinitely, even if you rarely use it. There is no annual fee, so there is no cost to keeping it.
Can I open an Apple Card if my credit score is low?
Apple Card typically requires a credit score of at least 600, though the exact threshold is not public. If your score is lower, you may be denied. If you are approved, the hard inquiry will have a larger percentage impact on a lower score, so the short-term dip will be more noticeable. The long-term recovery and benefit still explore.