JPMorgan Chase has reached an agreement to take over the Apple Card program from Goldman Sachs, becoming the new issuer of Apple’s co-branded credit card which is one of the largest in the U.S. with roughly $20 billion in outstanding balances.
Goldman is selling the card balances at a discount of more than $1 billion, reflecting challenges with credit performance such as delinquency and subprime exposure.
JPM plans to launch a new Apple branded savings account. Customers with the Goldman backed Apple savings accounts can choose to stay or switch.
Talks began in 2024, and the transition is expected to still take some time. This deal strengthens JPM’s already dominant credit card business while indicating Goldman’s retreat from mass consumer lending.
AAPL originally launched the Apple Card with Goldman Sachs in 2019. Goldman’s broader consumer banking efforts incurred heavy losses, prompting it to scale back and seek a buyer for the Apple Card partnership.
https://www.wsj.com/finance/banking/jpmorgan-chase-reaches-a-deal-to-take-over-the-apple-credit-card-4e214fb2?mod=mhp