Last year I remember seeing some stories about GS’s issues being caused by people defaulting on the card. It isn’t hard to get approved, so if you have even a middling credit score you can get the credit card. So at first it made sense that a bunch of people who probably shouldn’t have been approved for a credit card got one and got in over their heads.

That being said, the idea of people just not paying interest makes more sense to me. The Apple Card is probably the easiest card to see how much your balance impacts the interest paid. I’ve had the card since it came out and have never paid a dime of interest. I also only use it with Apple Pay meaning at minimum I get 2% cash back. Add to that, the savings account where I get 4.15% every ~~month~~ year. Again, with no fees or interest. I can see that hitting their bottom line.

I’ll play the world’s smallest violin for them. I only hope if GS does offload the program to someone else the terms don’t get worse. Because it has only been upside for me since it launched.

EDIT: Clarified the interest is 4.15% a year, not a month.