Synchrony Financial provides private label and co-branded credit cards, partnering with retailers to offer store-specific credit cards that let customers finance purchases directly at the point of sale. Its business model centers on partnerships with major retail and consumer brands, where Synchrony issues and manages the credit programs while the retail partner benefits from increased customer loyalty and larger purchase sizes that store credit financing tends to encourage. As a consumer lender focused specifically on retail credit, Synchrony's profitability depends on managing credit losses effectively relative to the interest income it earns on outstanding card balances, a balance that's sensitive to consumer spending patterns and broader economic conditions. The company's results tend to be cyclical, with credit losses typically rising during economic downturns when consumers are more likely to fall behind on payments, while interest income depends on how much revolving balance customers carry on their retail credit cards.