Smartpay launches next phase of digital consumer finance through open banking

By Leandra Monteiro

Japan-based FinTech Smartpay has launched Smartpay Bank Direct, a digital consumer finance service that allows customers to pay for online installment purchases straight from their bank accounts.

Smartpay Bank Direct emphasizes user security while delivering convenience for the consumer, through a network of 67 partner banks across Japan. Smartpay is Japan’s first digital consumer finance company to utilize Japan’s open banking system.

Smartpay’s application has received wide acceptance from consumers and merchants that prefer uncomplicated digital payments, which supports the transformation of a cash-based society into a digital one. The company’s strategy was built in two phases. The first phase was focused on financial inclusion, and helping those that don’t have access to credit, to join the digital BNPL economy. It also solved the issue of cash usage and created a platform and an ecosystem to move towards a paperless payment system that would be more efficient.

Smartpay is moving into the next phase of its digital consumer finance journey, which is focused on targeting middle and high-income users and offering them smart financial solutions that are safe, convenient, fast and create real value for the entire ecosystem.

Smartpay, founder and CEO, Sam Ahmed, said, “We believe we are driving digital consumer finance to the next phase of its maturity. ‘Buy now, pay later’ has had to grow up from the prospective of a business model, profitability, and consumer value proposition.”

The company’s adaptive UX, accessible technology, eKYC (electronic know your customer), dependable security features and sound business model is built for users that have a need for efficient digital finance solutions, which will transform markets with similar conditions, high inflationary pressures on consumer psychographics, and demographics.

While currently the focus is on Japan, KSA and UAE markets, in the medium term Smartpay will look towards Singapore, South Korea, Taiwan, and other markets in Southeast Asia and MENA.