Apple and Goldman Sachs Want to Get Into Your Wallet

Andrew Cummings
February 24, 2019

Apple is working with Goldman Sachs on the release of a joint credit card paired with personal financial management applications, according to the Wall Street Journal.

The big picture: Neither company has much experience in the credit card industry but both are looking for alternatives as their primary sources of income - iPhone sales and securities trading - are slowing.

According to a report in The Wall Street Journal, the card will be integrated with the iPhone and offer features to track spending and points. And, since Apple will control the card, it will be able to offer special features within the Wallet app for customers. "Executives have discussed borrowing visual cues from Apple's fitness-tracking app, where "rings" close as users hit daily exercise targets, and sending users notifications about their spending habits", the Journal reports.

Talk of a new Apple credit card is inspiring doubts from one analyst, who sees a co-branded card as appealing mainly to heavy fans of the cellphone and computer company.

That's where the credit card business comes in.

Apple did not immediately respond to Reuters' request for a comment.

Moving forward: Despite the fact that Goldman, known for its investment-banking operations, has already taken the previously unthinkable step of offering banking services to the masses, issuing a credit card would be a significant step that would require investment in things like customer service and collections.

It's part of a push by Apple to focus on fee-generating services and it continues Goldman's campaign to appeal to rank-and-file consumers.

The card will use the MasterCard payment network, the Journal reports.

The planned card would carry the Apple Pay brand and could launch early next year, people familiar with the matter said.

Other reports by iNewsToday