Citing sources familiar with the matter, the report states that Visa has proposed an upfront payment, a strategy typically reserved for high-value card programmes. According to the official press release from the Wall Street Journal, American Express has also entered the competition to replace Mastercard, with the aim of serving as both the issuer and the payment network for the Apple Card.
Apple’s credit card partnership with Goldman Sachs, launched in 2019 with Mastercard as the payment processor, has come to an end. Reports from late 2023 indicated that several financial institutions are now vying to take over the collaboration.
Earlier this year, Reuters reported that Apple was in discussions with Barclays and Synchrony Financial as potential partners for its credit card business. JPMorgan Chase has also been engaged in negotiations with Apple according to previous reports.
Goldman Sachs initially expanded into consumer banking nearly a decade ago in an effort to diversify its revenue beyond investment banking and trading. However, by late 2022, the firm opted to scale back its retail operations after setting aside significant financial reserves to cover potential losses.
According to Macrumors, Apple introduced its Apple Card in 2019, a credit card integrated into the Wallet app and designed primarily for use with Apple Pay. The card functions both as a digital payment option and a conventional credit card for transactions beyond Apple’s ecosystem.
According to Apple, more than 12 million users in the United States have adopted the Apple Card. The company has continued to introduce new features since its launch, aiming to enhance its functionality within the Apple ecosystem.
Consumers can apply for the Apple Card directly through the Wallet app, where much of the required information is pre-filled from an existing Apple ID, allowing for a streamlined registration process. Alternatively, applications can be completed on Apple’s website, particularly when purchasing devices through the Monthly Instalment Plan or via the dedicated Apple Card webpage.
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