In a significant shakeup for the consumer fintech landscape, Apple has officially announced that JPMorgan Chase will become the new issuer of the Apple Card. This move marks the conclusion of Apple’s high-profile partnership with Goldman Sachs, which has been the backbone of the credit card since its launch.
While the Apple Card has been a success regarding brand integration and user experience, the venture has reportedly been a costly and compliance-heavy headache for Goldman Sachs. JPMorgan Chase, the largest bank in the United States, is stepping in to absorb this book of business, likely viewing it as a prime opportunity to integrate Apple’s massive, affluent user base into its Chase ecosystem.
Consumers can expect a lengthy waiting period, however, as Apple estimates the full transition will take approximately 24 months. During this interim period, the company promises to keep users updated, but for now, it is business as usual for current cardholders despite the massive backend overhaul looming on the horizon.
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