Apple card problems are frequent, and the problem of Goldman Sachs service platform is difficult to solve. It is difficult for Goldman Sachs to deal with the massive refusal of Apple's credit cards. The customer applies to the bank for refusing to pay the transaction on the credit card bill for various reasons. Apple card problems are frequent, and the problem of Goldman Sachs service platform is difficult to solve.
Apple card problems are frequent, and the problem of Goldman Sachs service platform is difficult to solve. 1 Apple Card may be one of the earliest signs of Apple's financial business. Although the card has the logo of "Apple", it is basically a joint credit card, and the bank still provides approval and other support behind it.
"making friends carelessly"
In 20 19, when Apple released the Apple Card, the company claimed that this credit card was a "game changer" and provided unprecedented simplicity and transparency.
At that time, Apple chose Goldman Sachs as its partner. However, at that time, Goldman Sachs had not yet entered the field of consumer credit cards, and Apple Card was the first consumer credit card launched by the company. So, why doesn't Apple choose an established credit card partner? In fact, Apple also negotiated with traditional credit card companies such as JPMorgan Chase, Citigroup and Barclays Bank, but these banks failed to undertake Apple's business because of their low profits.
As a rookie in the American credit card industry, Apple Credit Card represents the biggest step for Goldman Sachs to enter the financial life of ordinary Americans. According to informed sources, although major card issuers rely on decades of technical systems, Goldman Sachs chose to build its own platform.
Controversial transactions continue.
Apple claimed to innovate the credit card industry, but people familiar with the matter revealed that behind this, the rapid growth of Apple Card and the new service platform created by Goldman Sachs created difficulties for them. Failure made them more like a traditional card issuer than a customer-oriented subversive.
According to people familiar with the matter, it is difficult for Goldman Sachs to handle disputed transactions that exceed expectations, which is known in the industry as "credit card refusal". Credit card dishonor occurs when customers request to return products or services for various reasons. According to the payment consultant, these disputes caused banks to fall into differences between customers and merchants, which surged during the epidemic.
When Apple card users object to a transaction, Goldman Sachs must seek a solution within the time limit required by the regulation, but sometimes it can't. People familiar with the matter said that customers sometimes get contradictory information or go through a long wait.
A person familiar with the matter said that the dispute encountered by Goldman Sachs exceeded expectations. "You need to solve these queuing problems within a certain period of time. This business has become so huge that suddenly we have to create more automated programs to deal with it. "
Nightmare service
The problem of Goldman Sachs' credit card business suddenly entered the public eye on August 4. At that time, the new york investment bank disclosed a series of billing and service problems investigated by the US Consumer Financial Protection Bureau. Goldman Sachs did not mention Apple in its documents, but so far, most of its credit card loans of $65,438+010.84 billion have come from Apple Card. In June 5438+10 this year, Goldman Sachs also launched a common joint credit card.
Goldman Sachs said that regulators are investigating its customers' transactions, "including refund applications, unqualified credit payments, bill error resolution, advertisements and ways to report consumer information to credit reporting agencies".
According to people familiar with the matter, in the past few years, regulators have paid attention to customer complaints, and the biggest reason for these complaints is to try to refund. These disputes may be difficult to resolve, because customers sometimes try to cheat the system by seeking refunds for legitimate purchases. Moreover, businesses are not necessarily willing to help. Although it should be clear that identity theft or refund of goods never received should be involved, Goldman Sachs also faces some more subtle situations, such as customers complaining that music festivals and other activities are not worth paying so much money and applying for a refund.
Many users complained on the online credit card forum that although they provided evidence of fraud, Goldman Sachs initially refused to take their side.
"Goldman Sachs asked me to be responsible for the $930 fee paid by Apple Pay in the Apple Store, but I didn't spend the money. So far, I haven't experienced such unprofessional services provided by big companies. This is a nightmare. " The user said in a post on the social forum Reddit.
People familiar with the matter said that although Goldman Sachs provided customers with an automated way to register disputes through the iPhone, it did little to simplify the resolution of such cases. At first, Goldman Sachs did not consider what people in the industry thought was a "marginal case", that is, breaking the rules in most transactions.
A person familiar with the matter said: "We want to prove that we have a seamless way to deal with controversial transactions." . "But we didn't get any praise at the front end and encountered some failures at the back end."
Another puzzling problem is that Goldman Sachs relies on three external suppliers to help serve Apple card customers. This model is called business process outsourcing (BPO), but the staff turnover rate in this field is high, which increases the possibility that business representatives are newcomers or have not been fully trained.
In February this year, Apple issued a notice to some credit card users, giving them the opportunity to resubmit the old dispute. Apple admitted in an email that "some disputes initiated by customers may not be solved correctly".
Apple card problems are frequent, and the problem of Goldman Sachs service platform is difficult to solve. Goldman Sachs, the partner bank of Apple Card, revealed that they are facing an investigation by the Consumer Financial Protection Bureau. The focus of the investigation is the management regulations of Goldman Sachs' credit card accounts in the United States, in which Apple card is an important part.
The Consumer Financial Protection Bureau (CFPB) is the highest consumer protection agency and supervision agency in the financial field of the United States. The investigation of Goldman Sachs focuses on the bank's credit card account management practice, which includes many different factors.
In its filing with the US Securities and Exchange Commission, Goldman Sachs said it was cooperating with CFPB's investigation:
The company is cooperating with the Consumer Financial Protection Bureau to investigate the credit card account management practices of GS Bank in the United States, including refund application, credit for unqualified payment, bill error resolution, advertising and reporting to the credit bureau.
Goldman Sachs has only recently begun to enter the personal consumption credit card business in the United States; Its cooperation with Apple to develop Apple Card is by far the biggest move.
Most of Apple Card's financial background depends on Goldman Sachs. This includes approval and rejection, credit limit, disputes, credit bureau reports, etc.
Shortly after the release, Apple and Goldman Sachs faced accusations that gender discrimination affected the algorithm used to determine the credit limit of Apple's credit card. These allegations prompted an investigation by new york's financial services sector.
Goldman Sachs responded to the accusation that its credit decision was "based on the credibility of customers, not on gender, race, age, sexual orientation or any other factors prohibited by law". Apple has never publicly responded to these allegations.
At present, there are no more details about the specific content that CFPB is investigating, but in view of the important role Apple Card plays in Goldman Sachs' consumer credit card business, this business is regarded as the focus of this investigation.
Apple card problems are frequent, and the problem of Goldman Sachs service platform is difficult to solve. Due to the continuous growth of Apple's Apple card users, Goldman Sachs Group, a cooperative card issuer, is not well prepared to deal with a large number of credit card refusal issues.
When Apple launched the Apple Card business on 20 19, it claimed that its credit card was very simple and transparent and was regarded as a game changer.
However, people familiar with the matter said that the rapid growth of the credit card business made Apple unexpected, and the problems of the new service platform created by Goldman Sachs were endless, which made Apple's credit card business more like a traditional card issuer that suffered various failures, rather than a customer-oriented subversive as Apple itself said.
Source map
According to people familiar with the matter, it is difficult for Goldman Sachs to deal with the large number of non-payment problems of Apple credit cards. The customer applies to the bank for refusing to pay the transaction on the credit card bill for various reasons. Payment consultants said that these disputes have caused banks to fall into differences between customers and merchants.
According to informed sources, when Apple credit card users object to a transaction, Goldman Sachs needs to seek a solution within the regulatory time limit, but it often fails to do so. People familiar with the matter said that users sometimes receive contradictory information and sometimes wait too long.
A source said that the number of transaction disputes that Goldman Sachs needs to deal with exceeds expectations. "You need to clean up these problems within a certain period of time. The amount of business has become so huge that suddenly we have to develop more automation tools to handle these businesses. "
Goldman Sachs declined to comment for this article, and Apple representatives did not immediately respond to requests for comment.
horrible
The problem of Goldman Sachs' credit card business was exposed on August 4 this year, when Goldman Sachs disclosed a series of bills and service problems of credit cards issued by the Consumer Financial Protection Bureau. Goldman Sachs did not specifically mention Apple in the document, but in June 5438+10 this year, Goldman Sachs just launched a common co-branded credit card; So far, most of the credit card loans of Goldman Sachs 1 1.84 billion dollars come from Apple credit cards.
Goldman Sachs said that regulators are investigating Goldman Sachs' customer transactions, "including refusal to pay applications, irregular credit, billing errors, advertisements and reporting incidents to credit institutions."
According to people familiar with the matter, regulators are concerned about the content of customer complaints in the past few years, the most of which is refusal to pay.
Resolving these disputes can be tricky. Customers sometimes use system vulnerabilities to buy goods through normal channels and then apply for refusal; There are also business frauds. Among the large number of applications received by Goldman Sachs, there are many normal visa refusal problems that should be solved, such as identity theft or never receiving the goods, but there are also customers complaining that activities such as music festivals do not meet the credit card charging standards.
At the credit card forum, some Apple credit card users complained that although Goldman Sachs provided evidence of fraud, it initially refused to take their side.
A post on the Reddit forum said: "Goldman Sachs asked me to pay $930 for using Apple's payment service in the Apple Store." "So far, I have never found that big companies can provide such unprofessional services. This is a nightmare. "