Report: Apple to end partnership with bank that backs Apple Card, savings accounts::Goldman Sachs has lost billions of dollars on its consumer-focused businesses.
So what happens to all the people with thousands of dollars in their saving account with apple / gold man ballsack?
When the card launched, I remember reading that Apple was keen to put their finger on the scales when deciding whether or not somebody was offered credit through Apple. Their logic, I assume, was that the increased profits would offset the increased risk.
This appears not to have been the case.
“Bank that backs Apple Card”? People don’t know what Goldman “vampire squid” Sachs is anymore?
people with Goldman-backed credit cards like the Apple Card are actually making their payments less often than people with credit cards from other banks
Who could have possibly seen this coming?
That’s interesting, because delayed payments are generally where credit card companies make most of their money.
People paying ON TIME and in full are credit card companies’ worst customers because they never pay any interest on their charges.
True, but the business still pays them plenty. It’s not so much that they lose money, it’s they they earn less.
Apple is probably not going to partner with anyone because they’re becoming the bank
That is a LOT harder done than said. Apple might have the resources, but they don’t have the time or focus to become an actual bank.
They’ll just go to some other bank, willing to take on the shittier client risk. Probably Citi or the GE/Synchrony bank. Capital One if they smile real nice and bring flowers.
Yeah they have a physical storefront in every state so, as a bank, they would need to follow the specific financial laws of each state. Gets super complicated because you end up with different interest rates depending on where the customer lives.
