Regulator probing sexism claims over Apple Card, Latest Business News - The New Paper

Regulator probing sexism claims over Apple Card

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SAN FRANCISCO A New York financial regulator said on Saturday it is investigating claims of gender discrimination by the new credit card from tech giant Apple and its issuer Goldman Sachs, after a cardholder's tweet about his wife's credit limit went viral.

US businessman David Heinemeier Hansson had tweeted on Thursday that the Apple Card is a "(expletive) sexist program".

He said the card's "black box" algorithm had given him 20 times the credit limit of his wife, though they file joint tax returns and she has a higher credit score.

Mr Hansson tweeted a series of messages recounting fruitless chats with Apple customer service agents, who were unable to explain the disparity but blamed it on the algorithm that determines an applicant's credit-worthiness.

A "black box" algorithm refers to artificial intelligence systems whose decisions cannot be explained.

New York state regulators will "be conducting an investigation to determine whether New York law was violated and ensure all consumers are treated equally regardless of sex," said a spokesman for Ms Linda Lacewell, superintendent of the New York Department of Financial Services.- AFP