Apple announced Wednesday that JPMorgan Chase will replace Goldman Sachs as the issuer of the Apple Card. The transition, according to Apple, is expected to take up to 24 months.

While the banking partner is changing, the Apple Card will continue to operate on the Mastercard network. Apple stated that there will be no immediate changes for consumers, including those applying for new cards.

JPMorgan Chase said the deal would bring over $20 billion in card balances to its portfolio. The Wall Street Journal reported that Goldman Sachs is offloading this amount at a $1 billion discount. Goldman Sachs anticipates a $2.2 billion provision for credit losses related to the forward purchase commitment in the fourth quarter of 2025.

Rumors of the Apple-Goldman Sachs partnership ending have circulated for several years. Last year, The Wall Street Journal reported that JPMorgan Chase was the likely successor.

Apple launched the Apple Card in 2019 in partnership with Goldman Sachs, emphasizing features like no late fees or penalty interest rates. The card offers a tiered cashback system: 3% on purchases from Apple and select partners, 2% when using Apple Pay, and 1% when using the physical card. The change in issuer marks a significant shift in the financial technology landscape, potentially impacting the competitive dynamics of the credit card market.