Visa Makes £77 Million Pitch to Run Apple's Credit Card as Goldman Sachs Bows Out

In a bold move, Visa has placed a £77 million ($100 million) bid to take over Apple's credit card operations, stepping in as Goldman Sachs withdraws following financial losses and regulatory challenges.

Goldman Sachs' exit marks the end of its high-profile but troubled partnership with Apple, which struggled to meet profitability targets amid rising costs and increasing regulatory scrutiny. Visa's bid signals a strategic push into the consumer credit market, potentially reshaping how the Apple Card operates.

For consumers, this shift could impact credit offerings, reward schemes, and Apple's future financial services. Here's what we know so far:

Visa's Bold Move and the Competitive Landscape

Visa's £77 million ($100 million) proposal, reported in early April 2025, aims to oust Mastercard as the payment network for the Apple Card, positioning Visa as a key player in Apple's financial ecosystem. This move comes amid fierce competition, with American Express also pitching to take over both network and issuer roles, while Mastercard battles to hold its ground, according to MacRumors.

Apple's strategy of selecting a network before a new issuing bank adds an intriguing layer, ensuring the chosen partner aligns with its focus on seamless user integration.

Described as an unusually large upfront payment, Visa's bid reflects the high value of partnering with Apple, a tech giant with a loyal customer base.

For UK consumers, this could translate into enhanced features like better rewards or international usability, though the switch might temporarily disrupt card services.

Goldman Sachs' Exit: Losses and Regulatory Pressure

Goldman Sachs' decision to bow out stems from mounting financial and regulatory challenges that have plagued its partnership with Apple since the card's 2019 launch. The bank faced a £70 million ($89 million) fine in October 2024 from the Consumer Financial Protection Bureau for mishandling customer disputes, impacting thousands of users (NPR).

Additionally, Goldman reported staggering losses of £950 million ($1.2 billion) in 2022, with its consumer banking unit struggling to turn a profit. CEO David Solomon signalled in January 2025 that the partnership might end before its 2030 contract term, citing these pressures. Talks to dissolve the deal began as early as November 2023, with potential replacements like Barclays and JPMorgan Chase now in the frame.

For UK cardholders, this exit underscores the need to monitor service continuity as Apple transitions to a new partner.

What It Means for UK Apple Card Users

For UK Apple Card users, Visa's potential takeover could usher in benefits like improved fraud protection or more generous cashback, leveraging Visa's extensive global network. However, the shift might also bring short-term challenges, such as delays in transaction processing or changes to account terms during the handover.

Public reactions on X, where posts about Visa's bid have racked up over 10,000 views, reveal a mix of excitement and scepticism, with some calling the £77 million offer "cheap" for such a high-profile deal.

This transition tests Apple's ability to maintain its reputation for reliability and user trust. UK consumers should proactively check official Apple announcements, review updated card terms, and consider alternative payment options if disruptions occur. Staying informed through trusted sources like Reuters will empower users to navigate this shift with confidence, ensuring their financial needs remain met amidst the change.

Originally published on IBTimes UK