Synchrony and Gap to shut down credit card partnership

Synchrony Financial is ending its two-decade credit card partnership with the retailer Gap Inc.

synchrony financial
Synchrony Financial’s headquarters in Stamford. Photo by Alexander Soule

According to a Bloomberg report, Stamford-based Synchrony announced its decision in a regulatory filing, stating that it was “unable to reach contractual and economic terms with Gap that made sense for our company and our shareholders.”

The partnership will officially terminate in April 2022 and Gap will move its credit card business to Barclays Plc beginning in May 2022.

The Gap portfolio represents approximately 5% of Synchrony”™s roughly $80 billion in receivables. Barclays will debut its first private label card with Gap and also issue cobranded credit cards for Gap using the Mastercard payment network.