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Goldman Sachs plans to scrap GM credit card - source

Published 11/07/2023, 06:20 PM
Updated 11/08/2023, 06:08 AM
© Reuters. FILE PHOTO: The GM logo is seen on the facade of the General Motors headquarters in Detroit, Michigan, U.S., March 16, 2021. REUTERS/Rebecca Cook/File Photo
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(Reuters) -Goldman Sachs is planning to scrap its co-branded credit cards with General Motors (NYSE:GM), a person familiar with the matter told Reuters on Tuesday.

General Motors said it would continue to "reward customers for their loyalty to our brands."

"MyGM Rewards cardholders can carry on spending and earning rewards on their existing cards as we evaluate new partners," a company spokesperson said.

The Wall Street Journal first reported the news.

Last month, Goldman beat estimates for third-quarter profit but said its ill-fated foray into consumer banking continued to weigh.

© Reuters. FILE PHOTO: The GM logo is seen on the facade of the General Motors headquarters in Detroit, Michigan, U.S., March 16, 2021. REUTERS/Rebecca Cook/File Photo

It has agreed to sell GreenSky, its home improvement lender, to a consortium led by investment firm Sixth Street Partners, hastening its retreat from the retail venture, which has lost $3 billion in more than three years.

Growing investor skepticism over the business has prompted CEO David Solomon to shift the firm's focus back to its traditional strengths - investment banking and trading.

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