Although Apple’s name is one the Apple Card, Goldman Sachs wants users to know they’ll be the one knocking on your door if you miss a couple of payments.
Business Insider reports on remarks made during a Goldman Sachs earnings call this week.
“Whoever lays claim to the creation of the card, there’s only one institution that’s making underwriting decisions, and that’s Goldman Sachs,” says CFO Stephen Scherr.
That comment was in response to a question about how aggressively Goldman Sachs would be willing to pursue delinquent debts, what with Apple’s friendly image and all that.
RBC Capital Markets analyst Gerard Cassidy asked Goldman if, when a recession hits and default rates rise, the Apple Card’s marketing could make it difficult for the bank to chase down debtors, given the potential damage to Apple’s brand and reputation for customer service.
“Are you going to be hamstrung trying to collect those delinquencies because of the way it’s been branded as an Apple Card, and it’s not a bank?” he asked finance boss Stephen Scherr on Goldman’s earnings call.
Scherr said the Cupertino firm doesn’t get to control how the accounts are managed.
The ultimate decision sits with us. We calibrate, manage our risk and collections in the context of that.
So yeah, don’t expect a friendly email reminder from Apple CEO Tim Cook if you fall behind on your Apple Card payments, there will instead be the usual call from a number you don’t recognize, reminding you of your debt.