Max Levchin, co-founder of PayPal Inc. and CEO of AFFIRM at Centre Stage on the first day of the 2019 Clash 2019 at the Enercare Center in Toronto, Canada.
Vaughn Ridley | SportsFile | Getty Images
positivethe online lender founded by Max Levchin, expanded beyond credit and entered the debit market four years ago with cards that users can pay over time. Now, the company is enabling banks to provide its services to their customers.
Affirm, who has developed a purchase now, pays for later business (BNPL), fis In transactions that allow fintech companies to provide services with time to pay for bank clients and millions of individual customers.
Banks affiliated with FIS can offer their own version of AFFIRM cards released in 2021. Consumers may access Affirm’s biweekly and monthly installment plans and may be automatically deducted from their checking accounts.
According to the Federal Reserve Bank of Atlanta, there are approximately 230 million debit card users in the United States. BNPL services have traditionally been tied to credit cards and standalone fundraising products rather than debit services.
“Today’s consumers are looking for innovative and user-friendly experiences. Affirm’s offering is a way for banks to “have their own banking channels,” Jim Johnson, co-chairman of FIS’s banking solutions, in a press release. , he said, helping to provide a more competitive and differentiated service.
Affirm has over 335,000 merchants on its network, ranging from travel booking sites and concert ticket providers to jewelry stores and electronics providers. By bringing BNPL into the world of debit, Affirm aims to provide consumers with credit alternatives.
In its revenue report last week, AFFIRM reported that it outperforms quarterly revenues than expected, recording surprising profits from holidays. After the announcement, the stock lost 22%.
AFFIRM’s active consumer base has increased 23% year-on-year to 21 million users. The AFFIRM Card currently has 1.7 million active users, an increase of over 136% from the same period last year. The card volume has more than doubled.
In June, AFFIRM and Apple announced plans for Apple Pay users on their iPhones and iPads so that they can apply for loans directly through assertions.
Monitoring: Paypal stocks plummet 12% despite earnings rising as card processing growth slows
Source link
