Apple customers won't be offered the ability to finance their purchases via the Barclaycard Financing Visa anymore, with retail employees informed the partnership between the two companies ended on September 15.
Financing by Apple Card will be offered instead of Barclaycard.
For a considerable time, Apple customers were able to buy their purchases using a deal with Barclaycard where they could apply for a credit card, reducing a large purchase down to more manageable installments. As of September 15, that offer will no longer be offered to customers buying hardware or making large purchases.
According to a memo to employees seen by Bloomberg, users won't be able to apply for the credit card in stores or via the website from Tuesday. Existing cardholders will still be able to use the card, but as a normal credit card.
Rather than Barclays, customers in the United States will instead be pointed towards Apple Card, a branded card managed by Goldman Sachs. Apple Card started offering a financing option for iPhones from December 2019, but expanded it to cover other products, including Macs, iPads, and accessories in June.
Apple Card's financing varies between devices, with higher-priced items having longer 12-month options, while smaller purchases can have 6-month 0% interest plans. Bundles of products can also be acquired and put onto the longer installment plan.
In response to a query from AppleInsider, Barclays confirmed existing users of the Barclaycard Visa with Apple Reards Card can still be eligible for a new promotional offer on "eligible Apple purchases," offering a 0% interest period at different levels. For purchases less than $499, the period is six months, rising to 12 months for purchases totalling up to $998.99, and 18 months for $999 or more.
After the period, those customers would be charged interest at the standard purchase annual percentage rate, which is currently at $13.99.
The breakdown between Apple and Barclays over the long-running partnership broke down in August 2019, ahead of the launch of Apple Card. Following almost a decade of operation, Barclays in that month stopped offering Apple gift cards to new customers, and ceased giving extra reward points on Apple purchases.
The Barclaycard partnership change will largely affect US-based customers. Apple has financing agreements for other regions, which are likely to remain intact since Apple Card isn't currently available outside the United States.
Update: Response from Barclaycard relating to existing customers added.