JPMorgan Chase to Replace Goldman Sachs as Apple Card Issuer

Apple has confirmed that JPMorgan Chase will become the new issuer for the Apple Card, replacing Goldman Sachs. The transition is expected to take approximately two years to complete, but customers can continue using their cards as usual during this period.

The official announcement followed reports that the two companies had reached a deal regarding the credit card service. Mastercard will remain the payment network under the new partnership. Goldman Sachs originally launched the Apple Card with Apple in 2019.

Reports indicate that negotiations have been underway for more than a year. Goldman Sachs is reportedly offloading about $20 billion in outstanding customer balances at a discount of more than $1 billion. Apple has stated that customers will receive information at a later date if any action is required.

Apple announced today that JPMorgan Chase will serve as the new issuer for the Apple Card. This news arrived shortly after reports surfaced that the two businesses had reached a deal regarding the credit card service. The transition to the new provider is expected to take about two years to complete.

During the interim period, customers can continue to use their Apple Cards without interruption. Apple has already published an FAQ regarding the change. The main takeaway is that the status quo is currently continuing. Customers will receive information at a later date if any action is required.

Mastercard will remain the Apple Card payment network under the new partnership. This ensures continuity for the payment processing infrastructure while the issuer changes.

Goldman Sachs was Apple's collaborator when the Apple Card launched in 2019. However, there have been signs for a few years that Goldman Sachs had been looking for a way out of its arrangement. The financial institution is reportedly offloading about $20 billion in outstanding customer balances.

According to reports, this offloading is happening at a discount of more than $1 billion. Apple did not disclose many details around either the current or future deals for its credit card. However, reports claim that negotiations with JPMorgan Chase have been underway for more than a year.

Apple has emphasized that the transition will be seamless for users. Customers can continue using their cards as usual while the changeover takes place. The company has published an FAQ to address potential concerns.

The main points for customers include:

• No immediate changes to card usage
• Transition period of approximately two years
• Mastercard remains the payment network
• Future notifications if action is required

Apple has not released specific details regarding the timeline for customer notifications or the exact nature of any future changes to the card terms or features.