JPMorgan is in discussions with Apple to assume control of the company's credit card business from Goldman Sachs.

• A source close to the negotiations revealed that Apple is currently in talks with JPMorgan Chase to take over Goldman Sachs' flagship credit card program for the tech giant.
• The discussions are still in their early stages, and key elements of a deal, such as price and whether JPMorgan would continue certain features of the Apple Card, have not yet been finalized, according to a source who requested anonymity.
• The bank aims to pay less than the stated value for the approximately $17 billion in loans on the Apple Card due to increased losses on the cards.

A source close to the negotiations revealed that is in talks with the bank to assume control of the tech giant's flagship credit card program from .

The potential deal between JPMorgan and Apple is still in its early stages, and key elements such as price and the continuation of certain features of the Apple Card have not yet been agreed upon. This person, who requested anonymity, stated that the talks could fall apart over these or other issues in the coming months.

Goldman Sachs' decision to pivot from its retail banking strategy left Apple with limited options for card issuers in the U.S. with the scale and appetite to take over the Apple Card program, which had resulted in losses and regulatory scrutiny for Goldman.

According to the Nilson Report, an industry newsletter, JPMorgan is the largest credit card issuer in the country based on purchase volume.

The bank is looking to pay less than the face value of the approximately $17 billion in loans on the Apple Card due to increased losses on the cards, according to a source close to the matter. Goldman Sachs, the issuer of the Apple Card, argues that the higher-than-average delinquencies and defaults on the portfolio are mainly due to the fact that the users are new accounts, and these losses are expected to decrease over time.

Issuers are less interested in investing in the portfolio due to concerns about credit quality, particularly as there are worries about a potential U.S. economic slowdown.

JPMorgan aims to eliminate a popular Apple Card feature that provides customers with monthly statements, resulting in an influx of calls from service personnel at the same time each month, according to a source.

The Wall Street Journal reported earlier that Apple and JPMorgan declined to comment on their negotiations.