This partnership will offer customers the possibility to use the Pay in 4 feature anywhere the card is accepted across the US. SoFi’s take on the buy now pay later fray lets its users to split purchases that range from 50 USD to 500 USD into four separate payments, with zero interest, as a feature of the Mastercard Instalments programme.
The company launched Pay in 4 and it is available to the customers purchasing with SoFi Checking and Savings programme. It is also being rolled out to select users in the following weeks.
The new product is designed to offer clients further flexibility with their money, and to provide support especially when it comes to big-ticket items. The customers will receive a digital Mastercard product for one-time use, and the first payment will be due at the time of the purchase. The following payments will be tied to the client’s SoFi account, and the balance will be paid every two weeks.
The BNPL services have become widely available recently, according to Eugene Simuni, managing director at MoffettNathanson. The insider of the equity research firm told AltFi that the BNPL movement has become not only more accessible, but also more commoditized across the world.
SoFi Technologies, Inc. offers its customers financial products, including student and auto loan refinancing, parent plus refinancing, medical/dental refinancing, private student loans, MBA loans, personal loas, as well as other types of exchanges.
Earlier this year, according to a filing with the US Securities and Exchange Commission, SoFi has partner with Noto, a fintech company founded by Mike Cagney. Both SoFi and Noto purchased SoFi shares, the first one counting to USD 5 million, and the second USD 1.13 million, in the range of USD 4.29-4.58 per share. The last time Noto added to its SoFi position was in June 2022.
Mastercard is an US-based payment-processing corporation, that offers a range of financial services. Its principal business throughout the world is to process securely the payments between banks of merchants and card-issuing banks.
The company had numerous partnerships this year, covering multiple geographies. This month it confirmed its collaboration with ecommerce platform Rakuten France to launch Club R Pay, along with US-based card issuing platform Marqeta. Club R Pay is an integrated payment and cashback solution that facilitates purchases for the 12 million members of the Club R loyalty programme.
Mastercard and Marqeta have launched several joint initiatives besides this one. Earlier this month Marqeta has integrated the Mastercard Track Instant Pay virtual card solutions to offer instant payment of supplier invoices.
In October this year, the two companies collaborated with Branch, a workforce payments platform, to launch the Uber Pro Card. This product is a debit card that enables Uber drivers and couriers to earn cashback on EV charging and gas.
Furthermore, in September 2022, both Mastercard and Marqeta were selected as key partners for Stash Core, a banking and debit card experience created in collaboration with the US-based financial technology and services company Shash Financial.
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