Shulou(Shulou.com)11/24 Report--

CTOnews.com October 16, according to foreign media 9tomac reported that Goldman Sachs (Goldman Sachs) suffered huge losses on Apple Card, an unnamed Goldman Sachs executive said: "We should not have signed the relevant contract, this is a mistake."

Goldman Sachs regrets the entire Apple Card partnership, which lost more than $1 billion as of January (CTOnews.com Note: currently about 7.31 billion yuan).

It is reported that Goldman Sachs has historically made money by providing financial services to companies, financial institutions and governments. Goldman Sachs' partnership with Apple to launch Apple Card is its first step into the consumer loan business, but this step has not been successful, and Goldman has been trying to exit the consumer loan business for most of this year.

▲ Touyuan Apple and Goldman Sachs have been trying to get rid of the Apple Card partnership, but so far without success. Goldman Sachs has reportedly been in discussions with American Express (Amex) for some time, but then came to nothing.

Foreign media believe that American Express has a strong own brand, so it is unlikely to accept Apple-branded products.

In addition, the multimillion-dollar savings accounts of Apple Card cardholders make it harder for Goldman to get rid of the business because the money has already been invested and Goldman has to raise cash to hand over the business to other companies.

▲ source Apple foreign media claimed that another potential exit plan put forward by Goldman Sachs is to hope that "whether Apple will be able to take over in the form of cash in the future", thus making Goldman Sachs exit.

Goldman employees involved in Apple's partnership have also come up with other options, including making Apple bear a larger share of the cost of co-operation, such as "Apple can be a lender for new credit card spending and issuance, while Goldman continues to manage existing loans".

However, the idea did not seem to attract any attention at either company, and the report said it was not under positive consideration and was not discussed between Goldman Sachs and Apple executives.

Foreign media claim that the differences between Goldman Sachs and Apple are growing, and the main problem between Goldman Sachs and Apple Card is that Goldman Sachs is being investigated by the Consumer Financial Protection Bureau because the company failed to "resolve the mistake in time" and return the cardholder's money.

Goldman is blaming Apple because the Apple Card is designed to "all cardholders receive bills on the same date", which brings a huge peak of work for customer service representatives.

However, foreign media believe that Goldman Sachs agreed to this arrangement in the first place, and it is not clear why it used this design in the first place, but this "shows that Goldman Sachs is indeed entering the field of consumer lending for the first time, so it lacks sufficient experience."

Related reading: "personality disagreement" led to a "breakup" between Apple and Goldman Sachs, and Cook's application for Apple Card was rejected.

Goldman Sachs posted a net loss of $667 million in the second quarter, dragged down by consumer businesses such as Apple's Apple Card.

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