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             Apple Card Moving from Goldman Sachs to JPMorgan Chase

   Adam Engst

   In the Wall Street Journal, [1]AnnaMaria Andriotis and Gina Heeb write
   (paywalled;[2]Apple News+ link):

     JPMorgan Chase has reached a deal to take over the Apple credit-card
     program from Goldman Sachs, according to people familiar with the
     matter.

     The biggest bank in the country will become the new issuer of the
     tech-giant's credit card, one of the largest co-branded programs
     with some $20 billion in balances, in a deal that has been
     negotiated for more than a year.

     The deal, which is expected to be announced soon barring any more
     last minute hiccups, will further cement JPMorgan's status as a
     behemoth in the credit-card sector and marks the final chapter of
     Goldman's failed experiment in consumer lending.

   It was only a matter of time before Apple found a company to replace
   Goldman Sachs, which has been trying to exit consumer lending since
   2022. The Wall Street Journal reports that Goldman has lost over $7
   billion since the beginning of 2020. Apparently, the deal with JPMorgan
   Chase took so long to negotiate due to 'a high exposure to subprime
   borrowers and what has been a higher-than-industry-average delinquency
   rate.' I wouldn't have expected that of the Apple Card.

   JPMorgan will reportedly issue Apple Cards to new and existing
   cardholders, suggesting we'll see new cards arrive in the mail, though
   the transition will take some time. JPMorgan also plans to open a new
   Apple Savings account, and existing Apple Savings account holders with
   Goldman can keep their accounts or open a new one with JPMorgan.

   [3]Read original article

References

   1. https://www.wsj.com/finance/banking/jpmorgan-chase-reaches-a-deal-to-take-over-the-apple-credit-card-4e214fb2
   2. https://apple.news/AAzNXt77ATV2x9xX1DiFptg
   3. https://www.wsj.com/finance/banking/jpmorgan-chase-reaches-a-deal-to-take-over-the-apple-credit-card-4e214fb2

.