Buy now pay later provider Zilch to launch first physical card

Western Telegraph

2 days ago

The fintech, which has been named one of the fastest-growing in the UK, said it means more of its customers can make payments in stores.
Zilch currently offers a virtual card, stored in its app or in people's mobile wallets, which links to customers' debit cards and means they can pay for shopping flexibly.
Buy now, pay later providers like Klarna and Clearpay have come under new standards since legislation was introduced last month (Tim Goode/PA)
People can choose to pay in full, or spread payments over six weeks or three months, at retailers from Primark and Asos to Just Eat and eBay.
While the virtual card can be used in shops as well as online, Zilch said that nearly 80% of UK adults do not regularly use mobile wallets so having a physical card will drive more transactions.
It is also set to open up buy-now-pay-later options for bigger purchases like home repairs, hotel check-ins, and car rentals.
The cards will become available to its existing customers from September.
The London-based company has grown its customer base to more than five million since launching five year ago and securing authorisation from the UK's Financial Conduct Authority.
It reached a valuation of two billion dollars (£1.5 billion) in 2021 and was named one of the UK's fastest-growing fintech unicorns this year.
Buy now, pay later providers like Klarna and Clearpay have come under new standards since legislation was introduced last month.
It came amid concerns that a lack of regulation has led some of the 10 million people who use it to take on too much debt.