NewDay launches regulated instant access credit account, Newpay
By Joy Dumasia
NewDay, one of the UK’s largest consumer credit providers, has launched Newpay, an instant access digital credit account designed to help consumers spread the cost of more extensive online baskets and purchases. Newpay fully integrates into the retailer’s checkout experience, offering seamless access to credit for customers.
Newpay offers customers a credit limit of up to £5,000, which can be used across various online retailers. The digital credit account allows customers to break down the cost of online purchases into monthly payments, with just one amount to pay each month, even if an individual has multiple payment plans. There is just one account for all purchases, allowing customers to see their Newpay purchases in one place, either online via the Newpay website or in the Newpay App.
A credit product regulated by the Financial Conduct Authority, Newpay uses the same standard of affordability checks as NewDay’s other consumer credit products, with an individual’s ability to repay considered at the application stage. Checking eligibility for Newpay does not impact an individual’s credit profile, with a quick no risk check carried out. If a customer passes the eligibility check and decides to apply for a Newpay account, a more detailed check, which will show on their credit file, will be conducted.
Ian Corfield, Chief Commercial Officer at NewDay, said: “We believe Newpay can help meet customer needs in the evolving e-commerce space. Many unregulated Buy Now Pay Later providers offer products that require customers to make multiple payments across those plans each month. With Newpay, we wanted to offer customers the ability to choose payment plans and timeframes that suit them, with customers paying just one amount each month, even if they have multiple payment plans in place across their purchases. As a consumer credit company, we believe our regulated offering and expertise in understanding and assessing an individual’s credit profile positions us to offer customers meaningful products. Newpay helps people to move forward with credit, provided that they remain within their credit limit and make their monthly payments on time.”
IBSi Daily News Analysis
August 16, 2022
Self-employed struggle to access financial services. What can FinTech do?Read More
IBSi FinTech Journal
- Most trusted FinTech journal since 1991
- Digital monthly issue
- 60+ pages of research, analysis, interviews, opinions, and rankings
- Global coverage
Other Related News