Goldman Sachs states regulators are examining credit-card practices

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Goldman Sachs says regulators are investigating credit-card practices

Revealed: The Secrets our Clients Used to Earn $3 Billion

Goldman Sachs CEO David Michael Solomon participates in a conversation on “Women Entrepreneurs Through Finance and Markets” at the World Bank on October 18, 2019 in Washington, DC.

Olivier Douliery|AFP|Getty Images

Goldman Sachs stated that its credit-card service is being examined by the Consumer Financial Protection Bureau over a series of billing and payments practices.

The bank revealed the probe in a quarterly filing on Thursday, stating that regulators were 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 reference of its collaboration with tech giant Apple in the filing, the majority of the bank’s $1184 billion in card loans through the 2nd quarter were from the Apple Card.

As part of CEO David Solomon’s push into retail banking, suggested to assist diversify the financial investment bank’s income streams and supply a source of fintech-infused development, Goldman released the Apple Card in2019 The item created headings and a J.D. Power citation for client complete satisfaction in 2015.

It later on revealed a General Motors card, and management has actually stated that the bank is likewise dealing with a Goldman- branded card. The company faced technical problems while porting over GM card users to its platform, the Wall Street Journal reported last month.

At Thursday’s low, Goldman shares fell as much as 0.7%.