How the GM card helps Barclays’ growth strategy

The news: Barclays will take over the General Motors co-brand credit card program from Goldman Sachs starting next summer, per a press release.

• The portfolio includes the GM Rewards Mastercard and GM Business Mastercard.
• Cardholders can put their rewards points toward purchasing, servicing, or buying accessories for their GM vehicle.

The price of the deal was not disclosed. High charge-off rates reportedly became a point of contention during negotiations, per the Wall Street Journal. CEO David Soloman expected to take a $400 million pretax hit from the GM card sale.