JPMorgan Chase is in “advanced talks” with Apple about becoming the Apple Card’s new financial partner, according to The Wall Street Journal.
The Apple card is up for grabs because Goldman Sachs, the current bank behind Apple Card, is exiting the consumer lending world. For months, such banks as JP Morgan Chase and Synchrony Financial have worked to take Goldman Sachs’ place, according to The Wall Street Journal.
When it comes to the Apple Card’s issuing bank, the competition has been intense. In addition to Visa, American Express has reportedly been “in the mix” and Mastercard was “fiercely trying” to retain its role, according to the WSJ. Now the front runner seems to be JPMorgan, which owns Chase Bank, one of the largest banking chains in the United States.
In January, it was reported that the Apple/Goldman Sachs partnership which began on 2019, was on its last legs.
“We have a contract with Apple to run that partnership until 2030, although there’s some possibility that it won’t continue until that time frame,” Solomon told analysts on an earnings call tag the time. The Apple card dragged down Goldman’s return on equity by 75 to 100 basis points last year, but “that will improve in 2025 and 2026,” he said.
