Apple and Goldman Team Up on Credit Card Paired With iPhone

By WSJ City 

Apple and Goldman Sachs plan to start issuing this spring a joint credit card paired with new iPhone features that will help users manage their money.

KEY POINTS

   -- The card will officially launch later this year, according to people 
      familiar with the matter. 
 
   -- The companies hope to lure cardholders by offering them extra features on 
      Apple's Wallet app. 
 
   -- The app will let them set spending goals, track their rewards and manage 
      their balances, the people said. 
 
   -- The Wall Street Journal reported last year that the companies planned to 
      launch a joint credit card. 
 
   -- It is a major push by Apple into the financial lives of hundreds of 
      millions of iPhone users. 
 
   -- It is also part of Goldman's broader strategy to appeal to rank-and-file 
      consumers. 

WHY THIS MATTERS

As iPhone sales cool, Apple is turning to fee-generating services. The company aims to boost its services revenue to $50bn by 2020. Goldman launched an online consumer bank, Marcus, in 2016 to offset a decline in securities trading. Apple has a loyal following among wealthy, tech-savvy young adults whom Goldman hopes to turn into Marcus customers.

The companies are betting that Apple customers will use the card because it is better integrated into the iPhone.

A fuller story is available on WSJ.com

WSJ City: The news, the key facts and why it matters. Be deeply informed in less than five minutes. You can find more concise stories like this on the WSJ City app. Download now from the App Store or Google Play, or sign up to newsletters here http://www.wsj.com/newsletters?sub=356&mod=djemwsjcity

(END) Dow Jones Newswires

February 21, 2019 08:34 ET (13:34 GMT)

Copyright (c) 2019 Dow Jones & Company, Inc.