In a significant shift, JPMorgan Chase will take over as the new issuer for the Apple Card, according to an announcement made by Apple today. The transition process is expected to unfold over the next two years, during which customers will still be able to use their existing Apple Cards without interruption.
The news follows a report from The Wall Street Journal indicating that negotiations between Apple and JPMorgan Chase have been ongoing for more than a year. Previously, Goldman Sachs was the issuer when the Apple Card was introduced in 2019, but signs have emerged indicating Goldman Sachs sought to exit the partnership.
While Apple has issued an FAQ regarding the change, it has assured customers that there will be no immediate changes to their accounts, and further information will be provided if necessary. Additionally, the payment network for the Apple Card will continue to be Mastercard under this new arrangement.
Reports suggest that Goldman Sachs is currently working to offload approximately $20 billion in outstanding customer balances, taking a loss exceeding $1 billion in the process.