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Apple Card’s rapid growth, outside vendors blamed for mishaps within Goldman’s credit-card business


When it unveiled its new credit card in 2019, Apple touted it as a gamechanger, with unheard-of levels of simplicity and transparency.

Behind the scenes, however, the card’s rapid growth and the new platform built by Goldman Sachs to service it created difficulties, resulting in failures more reminiscent of a traditional issuer than a customer-first disruptor, according to people with knowledge of the matter.

Goldman struggled to handle a bigger-than-expected influx of disputed transactions, known in the industry as chargebacks, according to the people. Chargebacks happen when a customer seeks a refund for a product or service billed on their card for any of a number of reasons. The disputes, which put banks in the middle of disagreements between customers and merchants, have surged during the pandemic, according to payments consultants.