Introduction
The world of Fintech continues to evolve and innovate with new platforms and products. One area that has seen many fintech platforms offer a product is the buy-now-pay-later option. These kind of products offer the user an option to access goods with little or no funds, giving them the option to pay in the future. American Express (AMEX) is the latest newcomer to roll out this loan product.
AMEX - a card payment processor giant announces Plan It
AMEX is a global name in financial services, well-known for providing cards used in checking out. They have many different types of cards that are used to make payments online and in physical check-out points. Their cards include credit cards, gift cards, and other cards used for personal and business payments. Now they are exploring the ever-rising loan purchase product for the teaming customers. They call their own service Plan It.
Plan It is a loan purchase program for AMEX card holders in the UK. This gives users the option to make purchases and pay by installments in the future. With Plan It, customers can now makes purchases beyond the amount they have in their balance. Once at the point of checkout, users that are part of the Plan It project can choose to pay up in the future based on periods of time like 3 months, 6 months and even up to one year.
Plan It was designed to be easy to use and available through various channels. Users that are making online purchases can pay through their online banking accounts. Plan it is also available for users of the AMEX app. This makes it easy to check out from any access point - in app or online.
For many buy-now-pay-later platforms, the loan usually accumulates a fixed interest based on the duration it was taken out. But for Plan It customers, AMEX give a better option. Instead of collecting interest, the user simply pays a monthly service fee for their loan. This actually means that there is no interest for the loan, but a fixed charge for the service. Interestingly, Plan It is very open with their terms and customers will not have to worry about any hidden service charges.
Plan IT terms, some FAQS and taking it further
Just like every other fintech product, Plan It has limitations. To begin with, not every customer or card qualifies for the service. Customers need to login to their apps or online account to check if they are eligible for the service.
For customers that are eligible, the minimum purchase amount is $100. Once they reach this limit, they are able to choose installment periods and amounts to pay.
Plan It covers many purchases online, but the user cannot take a loan that is more than their balance statement for the previous month.
Plan It could be used to book flight tickets online. AMEX has partnered with Delta Airlines and Plan It is available on their website. Its easy to do that. The customer simply chooses AMEX card as their payment option. This will activate Plan It and load the various options of repayment for the customer to choose. Once they choose a package that suits their budget, then the repayment will commence in the next period of time as selected.
Plan It is also available in the AMEX travel. Travelers that book through that platform will be able to choose to book and pay through Plan It.
Finally
The Fintech sector is really upping their game to make payments and plans that are suited to the needs of their millions of customers. AMEX has joined the league of platforms that are offering customers the opportunity to buy goods on loan.
If you are a customer of AMEX or you are in the region of this service, you may decide to take advantage of the opportunity. You have to do your own research as you know that this post is just for information purposes only. Its not financial advice at all.
Note: thumbnail from pixabay
Posted Using InLeo Alpha