Expect to see a new credit card from Apple next year. The company is prepared to ditch Barclays and the Barclaycard Visa with Apple Rewards, according to the Wall Street Journal.
The credit card would carry Apple Pay branding and include special benefits. Aside from offering special financing on the iPhone and other products, customers might be able to earn cash back on their purchases.
Another longtime partner would replace Barclays as the handler for Apple’s credit card. Goldman Sachs’ name emerged as the leading candidate back in February to collaborate with the Cupertino-based company, and the latest report confirms the pick.
The investment bank has supplied Apple with significant returns over the years; therefore, the relationship between them is already strong.
Both sides are still working out final details, but Apple and Goldman Sachs appear to be well on their way to making the deal official. An announcement could be made over the summer.
Goldman Sachs, by the way, has never released a credit card. But the investment bank has shown an interest in millennial-facing services recently. It launched Marcus, an online bank that dishes out online savings accounts and loans, in 2016. Then, just last month, Goldman Sachs acquired Clarity Money to help consumers manage their personal finances better using machine learning.
With Apple Pay being attached, the credit card should easily attract new accounts. Apple’s mobile payments service is recognized around the world, but there are still a large number of consumers still relying on physical cards. Goldman Sachs stepping in should mean lower interest rates on Apple’s upcoming credit card, possibly increasing sales.