FILE PHOTO: Customers walk past an Apple logo on the inside of an Apple store in Grand Central Station in New York, V. S., August 1, 2018. REUTERS/Lucas Jackson/File Photo
(Reuters) – Goldman Sachs Group Inc has entered into a partnership with Apple Inc. issuance of credit cards which will be combined with the iPhones and the users will help them to manage their money, the Wall Street Journal reported here on Wednesday, citing people familiar with the matter.
The map, which will be linked with Apple’s Wallet app allows the user to set the expenditure targets, rewards to keep and manage balances, WSJ said.
The new cards will be rolled out to staff for testing in the coming weeks and will be launched later this year.
The deal will benefit the companies to tap into new sources of income. Apple is the sharpening of the focus on the service, including the App Store, mobile payment and music streaming-after a recent dip in iPhone sales, which is the largest part of the profit.
Goldman is also looking to increase the consumer loans to compensate for dips in the market.
Apple has not immediately respond to Reuters’ request for comment. Goldman declined to comment.
The joint-map, which will be the use of Mastercard payment network, offers a cash back of about 2 percent on most purchases. The expenditure on Apple products and services could result in more cashbacks, some of the people told WSJ.
Goldman Sachs has already begun to add customer-support call centers, and building an internal system to manage payments, a project that could cost the bank $200 million, WSJ said, a time when banks are focused on reigning in the costs to boost their bottom lines.
The Wall Street bank eventually may offer other financial products, such as Marcus, loans and wealth management services, to Apple customers, WSJ said.
Reporting By Aparajita Saxena in Bengaluru; Editing by shailesh Kuber