Galileo Financial Technologies Enables Brands to Offer Co-Brand Debit Rewards Cards

Rhea-AI Summary

Galileo Financial Technologies, a SoFi Technologies (NASDAQ: SOFI) subsidiary, has launched a pioneering co-brand debit program that extends credit card-like rewards to debit card users. This first-of-its-kind offering in the U.S. hospitality sector targets the underserved $4.3 trillion debit market.

The program significantly reduces the launch time for co-branded cards from over a year to just a few months. It provides comprehensive technology solutions including card issuing, processing, Cyberbank Digital, and program management in a unified system. Initially focusing on hospitality and travel sectors, the program aims to serve the more than 90% of U.S. adults who have debit cards, including 45 million adults with or no credit history.

Positive

• First-mover advantage in the $4.3 trillion U.S. debit rewards market
• Reduces co-branded card launch time from over 1 year to few months
• Targets untapped market of 45 million U.S. adults with credit history
• Provides comprehensive technology solution for hospitality brands

Negative

• None.

Insights

Financial Technology Analyst

Galileo's launch of co-branded debit rewards represents a strategic masterstroke in capturing the vastly underserved $4.3 trillion debit market. This initiative is particularly significant for three key reasons:

First, the program addresses a critical market inefficiency. While 90% of U.S. adults hold debit cards, the rewards ecosystem has historically focused almost exclusively on credit products. By targeting the 45 million Americans with credit history, Galileo is not just expanding its addressable market but is strategically positioning itself to capture high-value, loyalty-driven spending in the travel and hospitality sectors.

Second, the accelerated implementation timeline (months versus the industry-standard year-plus) creates a significant competitive moat. This efficiency stems from Galileo's integrated technology stack, combining card issuing, processing, and program management. This technological advantage translates into faster time-to-market for partners and potentially higher client acquisition rates for SoFi's B2B services.

Third, this move strengthens SoFi's competitive position in multiple dimensions. The program creates new revenue streams through interchange fees and partner relationships while deepening Galileo's entrenchment in clients' operations through its comprehensive technology solution. The focus on hospitality and travel sectors is particularly strategic, as these industries typically generate higher transaction volumes and customer engagement.

The program's structure suggests a sophisticated approach to revenue generation: Galileo likely earns from implementation fees, ongoing processing fees, and a share of interchange revenue. This creates a recurring revenue model that could significantly enhance SoFi's technology platform segment profitability. The first-mover advantage in the U.S. hospitality sector positions Galileo to establish industry standards and capture premium partnerships before competitors can react.

New Galileo program makes it easier than ever to offer rewards to the overlooked $4.3 trillion debit market, a first-of-its-kind in the U.S. hospitality sector

SALT LAKE CITY--(BUSINESS WIRE)-- Galileo Financial Technologies, SoFi Technologies, Inc.’s Technology Platform (NASDAQ: SOFI), has launched a co-brand debit program offering, enabling brands to offer debit users access to rewards typically reserved for credit card holders. Galileo is the first to bring this type of program offering to the U.S. hospitality sector. While co-brand credit rewards programs are common, debit users have largely been left out—until now.

More than 90 percent of U.S. adults have a debit card, and 45 million U.S. adults either lack a credit history or have only minimal credit activity, preventing them from earning rewards on their everyday purchases and big-ticket items like hospitality and travel.

At a time when launching a co-branded card can drag on for more than a year, Galileo’s program cuts that down to just a few months. Brands, like those in hospitality and travel, can tap Galileo’s technology—including card issuing, processing, Cyberbank Digital and program management—without juggling multiple disconnected systems. This gets them to market faster so they can attract debit-focused consumers and offer them meaningful perks without changing how they spend.

"In the U.S. alone, people spend more than $4 trillion on their debit cards each year, but they aren't getting rewarded for most of that spend," said Derek White, Chief Executive Officer of Galileo. "That’s why we built a program that helps brands launch debit rewards quickly to capture this unmet demand.”

The program will initially focus on the hospitality and travel sectors, leveraging Galileo’s proven capabilities in powering financial solutions for global brands. By enabling airlines, hotels and other brands to quickly offer loyalty-driven debit cards, Galileo helps boost customer engagement and drive increased spend.

About Galileo Financial Technologies

Galileo Financial Technologies, LLC and certain of its affiliates collectively comprise a financial technology company owned and operated independently by SoFi Technologies, Inc. (NASDAQ: SOFI) that enables fintechs, financial institutions, and emerging and established brands to build differentiated financial solutions that deliver exceptional, customer-centric experiences. Through modern, open APIs, Galileo’s flexible, secure, scalable and fully integrated platform drives innovation across payments and financial services. Trusted by digital banking heavyweights, early-stage innovators and enterprise clients alike, Galileo supports issuing physical and virtual payment cards, mobile push provisioning, tailored and differentiated financial products and more, across industries and geographies.

©2025 Galileo Financial Technologies, LLC. All rights reserved.

Galileo Financial Technologies, LLC is a technology company, not a bank. Galileo partners with many issuing banks to provide banking services in North and Latin America.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250220833418/en/

Katie Boyless

The Fletcher Group for Galileo Financial Technologies

404.791.8245

katie@fletchergroupllc.com

Source: Galileo Financial Technologies

FAQ

What is Galileo's new co-brand debit program offering for SOFI?

Galileo launched a program enabling brands to offer debit card rewards typically reserved for credit cards, focusing initially on the hospitality sector and targeting the $4.3 trillion debit market.

How much faster can brands launch co-branded cards with SOFI's Galileo platform?

Galileo's program reduces the launch time for co-branded cards from over one year to just a few months.

What market size is SOFI's Galileo targeting with its debit rewards program?

The program targets the $4.3 trillion U.S. debit market, including 90% of U.S. adults who have debit cards and 45 million adults with or no credit history.

What technology services does SOFI's Galileo provide in its co-brand debit program?

Galileo provides card issuing, processing, Cyberbank Digital, and program management services in a unified system.