Chase could be next in line for Apple Card, according to a report, with the bank's history with the iPhone maker seemingly making it the perfect successor to Goldman Sachs to potentially provide Apple with credit-based services in the future. Goldman Sachs is about to withdraw from the ranks of AppleCard partners within 1-2 years, and Apple needs to find another potential financial institution to help operate this service. The end result of the search may be Chase.
Mark Gurman wrote in Bloomberg's "PowerOn" newsletter on Sunday that Chase already has a "significant relationship" with Apple, including holding a portion of Apple's $60 billion in cash assets. Chase is also one of the earliest partners of Apple Pay and has partnered with Apple to launch the Ultimate Rewards program, which provides discounts on Apple products.
Chase is also one of Apple's largest credit card partners, enabling transactions in the Apple Store, online and the App Store.
In addition, Chase's credit card already uses the Mastercard network, which is also an advantage. Partnering with Chase means Apple doesn't have to incur additional costs to switch platforms to Visa or American Express.
This change may also benefit AppleCash as GreenDotBank has experienced difficulties and reliability issues. In contrast, Chase's robust debit card network works with Apple Cash and offers the convenience of using a network of ATMs.
The exception is the AppleSaving high-yield account, which offers an APR of 4.15%, which is much higher than any savings account offered by Chase. While there are potential issues with working with Chase, it's still possible to offload account deposits to other banks and have Chase handle other AppleCard-related matters.