Apple Inc (NASDAQ:AAPL) and Goldman Sachs (NYSE:GS) are set to end their troubled foray into credit cards, reports overnight have suggested.
According to the Wall Street Journal, Apple has written to the US bank proposing that their card and savings account partnership be wound down within the next 12-15 months.
This would require the iPhone maker to find an alternative provider for the two services, said the report.
It would mark a swift end to a partnership launched in 2019 as a service that would offer a “new level of security and privacy”.
Goldman has racked up heavy losses as it has expanded into retail banking and said in February it was looking at “strategic alternatives” for its consumer businesses.
Apple launched its savings account this year with an attractive-looking 4.15% annual interest rate and said in August deposits were more than US$10 billion.
The tech group has millions of potential financial customers through its Apple Pay wallets that are built into iPhones and already used by three-quarters of owners.
In a statement to the WSJ, Apple said: “The award-winning Apple Card has seen a great reception from consumers, and we will continue to innovate and deliver the best tools and services for them.”
Goldman has yet to comment.