Chase is taking over Apple’s credit card

On Wednesday evening, Apple announced that JPMorgan Chase will become the new issuer of Apple Card, replacing Goldman Sachs, which has backed the company’s credit cards since their launch in 2019. This ends speculation about a new partner for Apple Card stretching back a few years, as Goldman Sachs continues an exit from consumer lending, and Apple manages a services business that has gone from $11 billion in quarterly revenue to more than $28 billion.

If you have an Apple Card, then Apple says not much will change anytime soon; the transition of the $20 billion credit card portfolio is scheduled to take place two years from now.

As described in Apple’s FAQ, managing your balance, access to savings accounts, and even applying for a new card will remain the same for now, with any information about possible changes for physical cards or card info coming closer to the actual transition date.

According to anonymous sources speaking to the Wall Street Journal and CNBC, Chase’s takeover is coming at a discount of more than $1 billion, reflecting what the WSJ described as “a high exposure to subprime borrowers and what has been a higher-than-industry-average delinquency rate.” The WSJ also reports that Chase will launch a new savings account program, which current account holders will have the option to switch to.