The Apple Card does not actually discriminate against women, say investigators

Goldman Sachs’ credit card policy is being questioned when Basecamp designer David Heinemeier Hansson and Apple co-founder Steve Wozniak claimed that their female partners received lower credit limits from Apple Card because they were just women. But a recently concluded department of financial services in New York investigation found Apple’s banking partner does not discriminate on the basis of sex (via Bloomberg).

NYSDFS investigators conducted a statistical analysis of nearly 400,000 New York applicants who showed that the models and algorithms Goldman Sachs uses to filter applicants did not consider prohibited characteristics of applicants and that they would not have divergent consequences. . The regulator also stressed that the idea that spouses with shared finances would receive the same credit terms was a common misconception. Normal guidelines such as credit history or unpaid debt were what determined whether or not a spouse received a higher limit.

For each cardholder who complained, the NYSDFS could also obtain specific justification from Goldman Sachs for each decision:

In each case, the bank was able to identify the factors that led to credit decisions, such as creditworthiness, debt, income, credit utilization, missed payments and other credit history elements. These decisions appear to be in line with the Bank’s credit policy, and none of the factors identified were an illegal basis for a credit assessment.

Even without a case for sexual or marital discrimination, the NYSDFS was critical of Goldman Sachs’ response to its concerned customers. Technically, banks only need to disclose elements of their credit policies if they deny someone a credit line, but the NYSDFS says Goldman Sachs could have had a plan to deal with customer confusion and make it easier for them to appeal on their credit. perke. In the first rush to launch the Apple Card, the bank did not do any of that.

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