Apple Card issuer investigated after viral tweet accuses it of 'sexist' practices

CNET Technology 3 weeks ago

An investigation into Goldman Sachs Group's credit card practices has begun after a tech entrepreneur's tweet alleged gender discrimination in determining credit limits for Apple's new credit card.

In a series of tweets Thursday, David Heinemeier Hansson criticized the Apple Card for giving him a credit limit 20 times higher than that of his wife, Bloomberg reported Saturday. The tweets immediately went viral, even attracting comment from Apple co-founder Steve Wozniak, who said he had a similar experience.

"The same thing happened to us," Wozniak tweeted. "I got 10x the credit limit."

New York's Department of Financial Services confirmed that an investigation was being conducted.

"The department will be conducting an investigation to determine whether New York law was violated and ensure all consumers are treated equally regardless of sex," Linda Lacewell, the superintendent of the New York Department of Financial Services, told Bloomberg. "Any algorithm, that intentionally or not results in discriminatory treatment of women or any other protected class of people violates New York law."

Goldman Sachs denied that gender factored into any decisions made about credit limits, saying that accounts are based on the individual and that person's specific credit history.

"As with any other individual credit card, your application is evaluated independently. We look at an individual's income and an individual's creditworthiness, which includes factors like personal credit scores, how much debt you have, and how that debt has been managed," Goldman Sachs said in a statement Sunday evening. "Based on these factors, it is possible for two family members to receive significantly different credit decisions."

Launched in August, the Apple Card is backed by Mastercard and Goldman Sachs and lets consumers pay for goods and services online and in stores. Apple Card is different from Apple Pay but builds on that feature -- it's a mobile payment system based on your existing credit card that Apple has had in place since 2014.

Apple didn't immediately respond to a request for comment.

Originally published Nov. 10, 8:45 a.m. PT.

Update, 5:25 p.m.: Adds Goldman Sachs' comment.


Source link
Read also:
CNN › Finance › 3 weeks ago
Some Apple Card customers say the credit card's issuer, Goldman Sachs, is giving women far lower credit limits, even if they share assets and accounts with their spouse. But it's impossible to know if the Apple Card -- or any other credit card...
CNET › Technology › 3 weeks ago
Algorithm alleged offering men a higher credit limit than women.
RT › Finance › 3 weeks ago
A New York financial regulator launched an investigation into Goldman Sachs’ credit card practices after Twitter users, including Apple co-founder Steve Wozniak, complained that Apple Card gives much lower credit limits to women. Read Full Article at...
The Guardian › Technology › 3 weeks ago
Goldman Sachs faces official inquiry as IT figures including Steve Wozniak say they got 10 times or more the credit limit received by their wives
Business Insider › Finance › 2 months ago
Apple has finally launched its own credit card, and it compares favorably to other cash-back cards. But, if you have another good rewards credit card, it probably doesn't make sense to get the Apple Card. And if you don't have a good rewards card...
The Sun › Technology › 3 weeks ago
APPLE’S new credit card has been branded “sexist” by some of its earliest adopters. The flashy titanium card, launched in the US earlier this year, came under fire after tech experts claimed it automatically gave men more spending power. Now the...
Business Insider › Finance › 2 months ago
Apple partnered with Goldman Sachs to offer the Apple Card beginning this summer. The card is only available for iPhone users, and while it lives natively on the iPhone, users also request a physical titanium card. I tried using my Apple Card for a few...
Business Insider › Finance › 3 weeks ago
In the last few years, Apple has moved aggressively into the world of digital services. The iPhone maker now operates Apple Music, Apple TV Plus, Apple Arcade, and Apple News Plus as monthly subscription-based services. Apple is reportedly looking to...
Business Insider › Finance › 3 weeks ago
Goldman Sachs will allow Apple Card customers to appeal their credit limit if they think it's suspiciously low, US bank CEO Carey Hailo said on Monday evening. The bank is Apple's partner for Apple Card and determines people's credit score. It has been...
ABC News › 3 weeks ago
A viral tweet set off a firestorm and led to New York's Department of Financial Services to launch an investigation into the Apple Card, run by Goldman Sachs.
Sign In

Sign in to follow sources and tags you love, and get personalized stories.

Continue with Google
OR