JPMorgan Chase has named Jennifer Piepszak as the head of its fast-growing credit card unit, replacing Kevin Watters, who is retiring later in 2017.
According to a report by The Wall Street Journal, citing an internal memo reviewed by the paper, Piepszak, who runs the small business banking unit at JPMorgan Chase, will maintain that role, along with running the credit card business, until a replacement can be found. Piepszak will be heading a unit that has seen rapid growth in the past few quarters as consumers increasingly use their credit cards for spending on everyday items instead of big-ticket ones, reported WSJ. With rewards becoming a mainstay with credit cards, consumers are using them more often.
The move to name Piepszak comes at a time when changes have been underway in the management ranks at Chase. WSJ noted that almost every unit head reporting to Retail Banking Chief Gordon Smith shifted last year, including consumer banking, mortgage banking and auto finance division.
“We hate to see Kevin leave the firm but respect his decision to spend more time on things outside of work,” Smith said in the memo, according to WSJ. Smith said the credit card unit ended 2016 with record sales and new account growth that was up around 20 percent. Earlier this month, JPMorgan released promising stats for its just-ended quarter. The company reported earnings of $1.71 per share, hitting $23.4 billion in revenue. That’s compared to estimates of $1.42 per share and $23.91 billion in revenue. JPMorgan’s Corporate and Investment Bank unit saw a net revenue increase to $1.96 billion (up from $1.76 billion in the same quarter a year ago).