JPMorgan Set to Assume Control of Apple Card from Goldman Sachs

JPMorgan Chase is to become the new issuer of Apple Card, replacing Goldman Sachs, as per Reuters. The agreement brings to an end a partnership launched in 2019 that was central to Goldman’s consumer banking push.  

Apple and Goldman had earlier said in 2023 that they would unwind the arrangement. 

Scale of the Programme 

Apple Card is among the largest co-branded credit card programmes in the United States. The portfolio is estimated to hold more than $20 billion in outstanding balances.  

Once the transaction is completed, these balances will migrate to JPMorgan’s platform. Mastercard will continue as the card’s payment network. 

Transition for Cardholders 

JPMorgan will issue Apple Cards to both new and existing customers, though the transfer from Goldman is expected to be phased. No immediate changes to card usage have been outlined. JPMorgan also plans to introduce a new Apple-branded savings account.  

Customers currently holding Apple savings accounts with Goldman will be able to choose whether to stay or move once the transition begins. 

Financial Terms and Timing 

The transaction is subject to regulatory approvals and is not expected to close for around two years. JPMorgan said it expects to record a $2.2 billion provision for credit losses in the fourth quarter of 2025, linked to the forward purchase commitment of the Apple Card loan book.  

The deal is estimated to bring more than $20 billion in card balances to the bank when fully completed. 

Goldman’s Exit from the Portfolio 

Goldman is expected to sell the Apple Card balances at a discount of over $1 billion. The bank said the transaction would add about 46 cents per share to its 4th-quarter 2025 earnings, largely due to the release of $2.48 billion in loan-loss reserves.  

This gain will be partly offset by a $2.26 billion reduction in net revenue related to portfolio markdowns and contract termination costs, along with $38 million in expenses. 

Background to the Change 

Discussions between Apple and JPMorgan began in 2024 as Goldman sought to step back from consumer lending. The Apple Card partnership, launched with features such as no fees and cashback, faced operational challenges and higher-than-expected costs for Goldman.  

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Conclusion 

The transfer of Apple Card shifts a large consumer credit portfolio to JPMorgan while formalising Goldman’s withdrawal from a programme that had become financially burdensome. 

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