PURCHASE, N.Y.—As banks, merchants, and even tech companies offer consumers new ways to pay for purchases, credit card companies are trying to protect their role as the primary platform for everyday purchases by offering more buy-now-pay-later options, a new report asserts.
“That's why Mastercard paid an undisclosed amount for the point-of-sale loan platform Vyze, which lets consumers take small, short-term loans for everyday purchases without racking up credit card debt,” Cheddar said.
Increasing payment options for consumers buying non-essential items is one way Mastercard hopes it can help merchants finance more sales with less risk, and add a new revenue stream as some consumers forgo credit-card purchases, noted Cheddar.