NEW YORK—Citi will become the latest major player to launch a buy now, pay later (BNPL) card when it rolls out a new offering dubbed “Spot” in Australia through a partnership with Diners Club.
Unlike many BNPL providers, Citi doesn’t have to worry about forging retail partnerships because its card can be accepted at most points-of-sale, explained Business Insider.
“Citi will likely bring the Spot card to other markets if it’s well-received in Australia, and the newest iteration of BNPL solutions could shake up the global installment lending landscape,” Business Insider said.
Issuers that aren’t already involved in the BNPL space — like Capital One, which has a strained history with BNPL services — might follow Citi’s lead with their own BNPL card launches, Business Insider added.
As CUToday.info reported here, the BNPL market received a major boost recently with an announcement by Amazon that it has entered into a partnership with Affirm to allow customers to pay for their purchases in installments.