Australia-based Buy Now, Pay Later (BNPL) Fintech Afterpay (ASX:APT) says it will be diversifying its business operations with the introduction of a “money and lifestyle” app.
The Money app – which is currently being tested with staff members ahead of an October 2021 launch – should allow Afterpay’s BNPL clients to check their balance, pending or upcoming orders, and installments along with their everyday spending account as well as savings account information.
Additionally, users may get up to 1% interest rate on up to 15 different savings accounts. The company is also providing a fee-free daily account along with a physical debit card.
Anthony Eisen and Nick Molnar, co-CEOs at Afterpay, stated:
“Money will broaden our relationship with our loyal customers and also attract a new group that’s looking to streamline how they manage their finances within the debit economy, further cementing our commitment to supporting responsible spending.”
As covered in May 2021, Marqeta, a Fintech unicorn that claims to be the first global modern card issuing platform, teamed up with Afterpay for in-store digital card offerings in both Australia and New Zealand. The duo has also partnered in the U.S and Canadian markets.
According to Marqeta, Afterpay offers four installment payment options over a short period of time. The service, which is free for customers, has nearly 15 million active customers globally and is offered by nearly 86,000 merchants worldwide.
As reported in April 2021, Afterpay, a digital platform that offers interest-free installment plans for online purchases, partnered with Adyen (AMS: ADYEN), a global payments platform, to offer its BNPL service to retailers. The companies revealed that the first retailer to use the service is premium British footwear brand, Hunter.
According to the duo, Hunter may now offer Afterpay, known as Clearpay in the UK, without the need to take out a traditional loan or pay upfront fees or interest. The service is completely free for consumers who pay on time. Afterpay noted that with its service, retailers attract customers who prefer to pay without incurring traditional credit-style debt, interest, or fees.