Apple is reportedly in talks with Wall Street heavyweight, Goldman Sachs, over an agreement that would see the banking and investment-giant provide Apple customers with yet another option to finance their purchase, according to a report out this morning from The Wall Street Journal.
Citing people familiar with the matter, WSJ says Goldman Sachs desires to team up with Apple as it seeks to grow its consumer lending business, and hopes to ultimately offer another financing option for shoppers looking to buy essentially anything from Apple’s website.
“Customers purchasing a $ 1,000 iPhone X could take out a loan from Goldman instead of charging it to credit cards that often carry high interest rates,” The Wall Street Journal noted, while cautioning, however, that “talks between the tech giant and the investment bank are continuing and could still fall apart.”
Additional details about the [potential] Goldman Sachs finance option remain unknown; and it wasn’t revealed whether said option will replace or join the myriad of other financing options Apple already offers customers during checkout.
Apple’s finance options currently include the Barclay’s Apple Store credit card, which touts promotional, 18-month, zero-interest financing on qualifying purchases for well qualified buyers — though if any balance remains after the promo period ends, your entire purchase, retroactively, would be subject to as much as 28 percent interest.
The company also offers its iPhone Upgrade Program via Citizens Financial Group, under the terms of which customers not only spread out the cost of their iPhone over 24 months, but are free to upgrade to any newer iPhone model without having to pay a substantial fee.
“It is unclear,” however, “whether anything will change with the handling of the outstanding Citizens loans,” WSJ noted.
Potential Benefits of the Deal
While nothing is set in stone just yet, as we mentioned, the potential benefits of an Apple & Goldman Sachs partnership could spell great news, particularly for those who either do not qualify for the company’s other finance options, or who simply want to acquire the latest iPhone, HomePod, or even the iMac Pro, via an alternative, monthly payment plan.
Not to mention, but with Apple already rumored to be developing a range of more powerful and, as a result, expensive iPhone, iPad, and Mac computer models for later this year, a new financing option might even be necessary in the long run.