PayPal subsidiary Venmo launches first credit card with Synchrony Bank
New York-based social payments app Venmo has announced the launch of its first credit card in partnership with Synchrony Bank, already the issuer behind the Venmo parent company PayPal’s Extras Mastercard and Cashback Mastercard.
By the second half of 2020, Venmo hopes its “more convenient credit card” will offer consumers “around-the-clock access” with “granular controls”, it says in a company announcement.
Still unprofitable, this new product for Venmo is designed to boost the fintech’s profits.
“We are pleased to deepen our relationship with Synchrony to bring groundbreaking new credit experiences to the Venmo community through a desirable credit card and a seamless in-app experience,” says PayPal’s CEO an Schulman, who says the global payments system has been a strategic partner with the bank for 15 years.
Venmo will now be able to compete with the likes of N26 and Chime in the US market.
Whilst distinct features of the card and its app have not been revealed, PayPal’s SVP of credit Darrell Esch says cardholders “will receive real-time alerts and can interact in new ways including splitting and sharing purchases”.