Credit Card charged when Apple Cash was set as Default Card

You have two places to set default payment methods. The two different places represent the two different payment services.

The first is your Apple Wallet app, used for Apple Pay (Tap-To-Pay) at merchant’s physical locations and their mobile apps and online, if they accept Apple Pay.

The second is your Apple Account (formerly known as Apple ID).

When you set the default in Settings app, you used the Wallet & Apple Pay to set a default for merchants other than Apple. You need to set the default payment method for your Apple Account, not Apple Pay.

Please review the information in the Apple Support article I linked below.

“Reorder payment methods on your iPhone, iPad, or Apple Vision Pro

1. On the Payment & Shipping screen, tap Edit.
2. Touch and hold a payment method to drag it further up or down your list of payment methods. Apple will attempt to charge your payment methods in the order that they appear.
3. Tap Done.

If you already have a payment method on file, learn how to change or update your payment method.”

Add a payment method to your Apple Account - Apple Support

You’re welcome and I hope you have a great day!