Unique | Goldman Sachs Received Lax on Credit score Playing cards. The Invoice Is Coming Due.

Behind Goldman Sachs’s GS -4.49%lower; pink down pointing triangle messy departure from credit-card lending: lax underwriting requirements.

The financial institution is going through mounting losses—together with a roughly $400 million pre-tax hit disclosed Monday—because it tries to dump the remaining items of its Important Road lending enterprise.