JPMorgan Chase Secures Apple Card Issuance

Goldman Sachs Relinquishes Role in Apple Card Partnership

Apple has officially announced a transition with JPMorgan Chase becoming the issuer of the Apple Card. This news broke shortly after The Wall Street Journal highlighted the two companies reaching an agreement concerning Apple's credit card service.

The switch to the new issuer, JPMorgan Chase, is estimated to span approximately two years. Throughout this period, customers are expected to experience no interruption in using their Apple Cards. Apple has already issued a FAQ addressing this transition, emphasizing that there will be no immediate impact on existing operations. Further instructions will be provided to customers if needed as the transition progresses.

Under this new collaboration, Mastercard will continue to act as the network facilitating Apple Card transactions.

Goldman Sachs' Exit and Financial Implications

Goldman Sachs, the initial partner with Apple since the card's inception in 2019, has reportedly been exploring ways to withdraw from the agreement. Although Apple has not disclosed details of either its past or future arrangements, reports from The Wall Street Journal suggest discussions with JPMorgan Chase have been in progress for over a year.

Insider sources reveal that Goldman Sachs is divesting around $20 billion in outstanding consumer debts, at a markdown exceeding $1 billion.