According to regulatory documents released this week, Apple Card customers had $ 736 million in loan balances at the end of September, although it is not clear how this compares to other credit cards, as Bloomberg said banks do not break down the performance by individual card.
Apple card is Goldman Sachs‘ latest foray into retail after establishing his online brand Marcus in 2016, which provides unsecured personal loans. CFO Stephen Scherr told Bloomberg on an earnings conference call in October that the company was intentionally slowing Marcus because of the exposure it was taking with the Apple Card. The Goldman Sachs consumer push was started by former CEO Lloyd Blankfein, who was looking for ways to diversify the company’s revenue base.
The Apple Card offers users the opportunity to earn 3% cash back when paying for Apple products and services, as well as at Uber, Uber Eats, T-Mobile, Walgreens, and Duane Reade. The cash back benefit will be added to more traders in the future. There is no charge with the card and it integrates with Apple Pay and the iOS Wallet app.
Goldman Sachs CEO David Solomon called the Apple card “the most successful credit card launch of all time,” last month during an investor appeal.
“In three short years, we have raised $ 55 billion in deposits on the Marcus platform, generated $ 5 billion in loans, built a new credit card platform and launched Apple Card,” Solomon said during of the appeal, adding that, “We were delighted to see a high level of consumer demand for the product. From an operational and risk perspective, we managed cash receipts smoothly and without compromising our credit underwriting standards.