Visa has reportedly offered Apple approximately $100 million to take over as the payment network for the tech giant's credit card, replacing current partner Mastercard, as Goldman Sachs plans its exit from consumer lending.

According to The Wall Street Journal, the payment network giant is making an aggressive push to secure the partnership, offering the kind of upfront payment typically reserved for the biggest card programmes, according to people familiar with the matter.

American Express is also competing to unseat Mastercard, with ambitions to serve as both the issuer and network for the Apple Card, sources told The Wall Street Journal.

Apple is expected to select a payment network before choosing a banking partner to replace Goldman Sachs, which has been trying to unload the Apple credit card since at least early 2023 as part of its retreat from consumer lending.

The battle highlights the strategic importance of the Apple Card, which has accumulated roughly $20 billion in balances, making it one of the biggest co-branded deals to change issuers.

Several financial institutions are vying to replace Goldman Sachs as the banking partner, including JPMorgan Chase, Synchrony Financial, and Barclays, according to previous reports.

Industry watchers suggest the competition extends beyond simple transaction volume. Apple is increasingly becoming central to many consumers' financial activities, with banks and payment networks developing what some describe as "frenemy" relationships with the tech company.

"The network that locks in this deal is expecting to stay close to Apple's future payments efforts," a source told the Wall Street Journal.

Mastercard is reportedly exploring ways to maintain its relationship with Apple, including potentially using its fintech subsidiary Finicity to enable consumers to view their deposit-account balances within the Apple ecosystem.

The Apple Card was launched in 2019 as a partnership between Apple and Goldman Sachs, with Mastercard serving as the payment processor. Goldman's decision to exit consumer lending has created the opportunity for competitors to pursue what has become a coveted financial partnership.

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