Goldman Sachs is the bank backing the Apple Card, and they’ve been looking to exit the partnership for a while, as the consumer-lending business has been rough for them. One of the background things is that the Apple Card has charge-off rates that are nearly twice that of other credit cards. This, combined with other issues with selling off their General Motors credit card partnership, and some real estate loans, has contributed to a $400 million hit against Goldman Sachs. It’s not clear if there is a buyer for the Apple Card, or who is in talks for this, but it’s something they want to complete sometime in the near future.
Goldman Sachs is still looking to exit its partnership with Apple as losses continue to mount. As detailed in a new report from The Wall Street Journal, Goldman Sachs will take a $400 million hit this quarter due to its floundering consumer business.
Found at 9to5mac.com
