There will be a new bank for Apple Card accounts. Apple has said that JPMorgan Chase will take over from Goldman Sachs as the issuer of the popular credit card. People who already have cards can keep using them as usual. The full changeover will take about two years to finish.
The change marks the end of a long-awaited shift. Goldman Sachs has been trying to get out of the consumer credit business for a while now. They teamed up with Apple to launch the Apple Card in 2019. A report from the Wall Street Journal says that talks have been going on for more than a year for JPMorgan Chase to take over the portfolio.
The deal’s financial terms were not made public. But sources say that Goldman Sachs is getting rid of about $20 billion in unpaid customer bills. The settlement is part of a bigger plan to back away from its plans to get into retail banking.
For the millions of people who have an Apple Card, the immediate effect will be small. Apple has said that customers don’t need to do anything right now. The card’s main features, like Daily Cash rewards, the Titanium physical card, and the ability to keep track of your finances in the Wallet app, will stay the same. Mastercard will still be the payment network.
The process of switching all accounts is expected to take until 2025. Apple will let customers know directly when they need to do something. In the future, this could mean getting new card materials or changing how automatic payments are set up.
This partnership is a big step forward for JPMorgan Chase’s co-branded card business. It has a lot of experience with card services and a huge number of customers already. Analysts think this will help the Apple Card program stay stable with an experienced issuer.
The official Apple Card customer FAQ has the most up-to-date information about the timeline for the transition.
Disclaimer: This article is for informational purposes only and does not constitute financial advice.
