JP Morgan reportedly in talks to replace Goldman Sachs as Apple’s credit card partner
JP Morgan Chase is reportedly in talks to replace Goldman Sachs as Apple’s credit card partner, according to a report by The Wall Street Journal citing sources familiar with the matter.
Apple reportedly in talks with JP Morgan over credit cards
The Wall Street Journal reports that discussions between the US bank and the tech giant commenced at the beginning of this year and that talks have been progressing over recent weeks.
However, the report says that a finalised agreement could still be months away.
Apple first selected Goldman Sachs in 2018 to develop and power its new credit card offering. The partnership was expanded to include buy now, pay later (BNPL) services in March 2023 via Apple Pay Later, however in June this year reports emerged that the tech giant would be discontinuing this service in the US.
Apple also launched a savings account product in partnership with Goldman in April 2023, which reportedly attracted around $1 billion in deposits within its first week.
Despite this success, speculation around the future of the partnership has grown as a result of Goldman Sachs’ decision to migrate away from the retail banking market and shift its focus back to its core propositions of trading and investment banking, wealth management, and transaction banking.
Reports emerged at the end of last year suggesting that Apple had proposed ending its credit card and savings account partnership with the bank, according to sources at the Wall Street Journal and CNBC.
This was around the same time that The Wall Street Journal published a report that Goldman Sachs was considering selling its General Motors credit card programme, which it purchased from its then-issuer Capital One for a sum of $2.5 billion in 2020.
