Goldman Sachs CEO David Michael Solomon attends a dialogue on “Women Entrepreneurs Through Finance and Markets” on the World Bank on October 18, 2019 in Washington, DC.
Olivier Douliery | AFP | Getty Images
Goldman Sachs mentioned that its credit-card enterprise is being investigated by the Consumer Financial Protection Bureau over a variety of billing and funds practices.
The financial institution disclosed the probe in a quarterly submitting on Thursday, saying that regulators have been analyzing its “account management practices, including with respect to the application of refunds, crediting of nonconforming payments, billing error resolution, advertisements, and reporting to credit bureaus.”
While New York-based Goldman made no point out of its partnership with tech big Apple within the submitting, many of the financial institution’s $11.84 billion in card loans by means of the second quarter have been from the Apple Card.
As a part of CEO David Solomon’s push into retail banking, meant to assist diversify the funding financial institution’s income streams and supply a supply of fintech-infused progress, Goldman launched the Apple Card in 2019. The product generated headlines and a J.D. Power quotation for buyer satisfaction final yr.
It later introduced a General Motors card, and administration has mentioned that the financial institution can be engaged on a Goldman-branded card. The agency bumped into technical points whereas porting over GM card customers to its platform, the Wall Street Journal reported final month.
At Thursday’s low, Goldman shares fell as a lot as 0.7%.
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