U.S. Bank Avvance partners with Magwitch to expand its point-of-sale lending offering to more customers
U.S. Bank has announced a strategic partnership between its Avvance point-of-sale lending solution and Magwitch, a Jacksonville-based fintech company. Through this integration, Avvance will provide point-of-sale lending services to merchants using Magwitch's lending-as-a-service platform, which serves 1,100 merchants directly and over 2,000 indirectly through white label technology services across the United States.
Avvance, launched in October 2023 as U.S. Bank's first real-time consumer lending product, offers flexible installment loans with APR-based terms at the point of sale. This partnership aims to help merchants meet consumer demand for flexible financing options while expanding U.S. Bank's lending reach through Magwitch's established merchant network.
U.S. Bank ha annunciato una partnership strategica tra la sua soluzione di prestito al punto vendita Avvance e Magwitch, un'azienda fintech con sede a Jacksonville. Attraverso questa integrazione, Avvance fornirà servizi di prestito al punto vendita ai commercianti che utilizzano la piattaforma di prestito come servizio di Magwitch, che serve direttamente 1.100 commercianti e oltre 2.000 indirettamente tramite servizi tecnologici white label in tutto il territorio degli Stati Uniti.
Avvance, lanciata nell'ottobre 2023 come il primo prodotto di prestito al consumo in tempo reale di U.S. Bank, offre prestiti rateali flessibili con condizioni basate su APR al punto vendita. Questa partnership ha l'obiettivo di aiutare i commercianti a soddisfare la domanda dei consumatori per opzioni di finanziamento flessibili, ampliando al contempo la portata dei prestiti di U.S. Bank attraverso la rete di commercianti già consolidata di Magwitch.
U.S. Bank ha anunciado una asociación estratégica entre su solución de préstamos en el punto de venta Avvance y Magwitch, una empresa fintech con sede en Jacksonville. A través de esta integración, Avvance proporcionará servicios de préstamos en el punto de venta a los comerciantes que utilizan la plataforma de préstamos como servicio de Magwitch, que sirve directamente a 1.100 comerciantes y a más de 2.000 de manera indirecta a través de servicios tecnológicos de marca blanca en todo Estados Unidos.
Avvance, lanzada en octubre de 2023 como el primer producto de préstamos al consumo en tiempo real de U.S. Bank, ofrece préstamos a plazos flexibles con condiciones basadas en el APR en el punto de venta. Esta asociación tiene como objetivo ayudar a los comerciantes a satisfacer la demanda de los consumidores por opciones de financiamiento flexibles, al tiempo que amplía el alcance del préstamo de U.S. Bank a través de la red de comerciantes establecida de Magwitch.
U.S. Bank는 잭슨빌에 본사를 둔 핀테크 회사 Magwitch와의 전략적 파트너십을 발표했습니다. 이 통합을 통해 Avvance는 Magwitch의 서비스 플랫폼을 사용하는 상인들에게 판매 시점 대출 서비스를 제공합니다. 이 플랫폼은 미국 전역에서 1,100명의 상인에게 직접 서비스를 제공하고 2,000명 이상의 상인에게는 화이트 라벨 기술 서비스를 통해 간접적으로 서비스를 제공합니다.
2023년 10월에 U.S. Bank의 첫 실시간 소비자 대출 제품으로 출시된 Avvance는 판매 시점에서 APR 기반 조건에 따라 유연한 할부 대출을 제공합니다. 이 파트너십은 상인들이 소비자 요구에 부응하는 유연한 금융 옵션을 제공하도록 돕고, 동시에 Magwitch의 확립된 상인 네트워크를 통해 U.S. Bank의 대출 범위를 확장하는 것을 목표로 하고 있습니다.
U.S. Bank a annoncé un partenariat stratégique entre sa solution de prêt au point de vente Avvance et Magwitch, une entreprise fintech basée à Jacksonville. Grâce à cette intégration, Avvance fournira des services de prêt au point de vente aux commerçants utilisant la plateforme de prêt en tant que service de Magwitch, qui sert directement 1 100 commerçants et plus de 2 000 indirectement via des services technologiques en marque blanche à travers les États-Unis.
Avvance, lancée en octobre 2023 en tant que premier produit de prêt à la consommation en temps réel de U.S. Bank, propose des prêts à tempérament flexibles avec des conditions basées sur le TAEG au point de vente. Ce partenariat vise à aider les commerçants à répondre à la demande des consommateurs pour des options de financement flexibles tout en élargissant la portée des prêts de U.S. Bank grâce au réseau de commerçants bien établi de Magwitch.
U.S. Bank hat eine strategische Partnerschaft zwischen seiner Avvance-POS-Darlehenslösung und Magwitch, einem in Jacksonville ansässigen Fintech-Unternehmen, angekündigt. Durch diese Integration wird Avvance den Händlern, die die Lending-as-a-Service-Plattform von Magwitch nutzen, Dienstleistungen für POS-Darlehen anbieten, die direkt 1.100 Händler und über Technologiedienste von Drittanbietern mehr als 2.000 Händler indirekt in den USA bedienen.
Avvance, das im Oktober 2023 als erstes Echtzeitverbraucherdarlehensprodukt von U.S. Bank auf den Markt kam, bietet flexible Ratenkredite mit auf dem effektiven Jahreszins basierenden Bedingungen am Verkaufsort an. Diese Partnerschaft zielt darauf ab, den Händlern zu helfen, der Nachfrage der Verbraucher nach flexiblen Finanzierungsmöglichkeiten gerecht zu werden, während gleichzeitig die Kreditvergabe von U.S. Bank durch das etablierte Händlernetzwerk von Magwitch erweitert wird.
- Integration with Magwitch expands U.S. Bank's point-of-sale lending reach to over 3,100 merchants
- Partnership provides access to Magwitch's established merchant network without building new infrastructure
- Diversification of lending channels through fintech partnership
- None.
Insights
The partnership between U.S. Bank's Avvance and Magwitch marks a strategic acceleration in the bank's digital transformation and revenue diversification efforts. By integrating with Magwitch's platform, which serves 1,100 direct merchants and 2,000 indirect merchants, U.S. Bank gains immediate scale in the rapidly growing point-of-sale financing market.
This move is particularly significant for three reasons: First, it leverages Magwitch's existing merchant relationships and technical infrastructure, allowing for faster market penetration compared to building a proprietary distribution network. Second, the partnership enables U.S. Bank to compete more effectively with fintech players like Affirm and Klarna, while maintaining the advantages of being a regulated bank - notably, lower funding costs and established risk management frameworks.
The timing is strategic, as the point-of-sale financing market is projected to grow significantly, driven by changing consumer preferences and merchant adoption. By offering APR-based term loans rather than traditional BNPL products, U.S. Bank is positioning itself as a more transparent and potentially more sustainable alternative in the space.
For merchants, the integration provides access to U.S. Bank's considerable balance sheet strength and competitive lending rates, while maintaining the convenience of Magwitch's unified platform. This could translate into higher conversion rates and larger average transaction sizes, as consumers gain access to more flexible payment options from a trusted financial institution.
Integration of Avvance to the Magwitch lending-as-a-service platform to help merchants meet consumer demand for flexible and trusted POS lending options
The addition of
“The integration of
Magwitch provides lending-as-a-service to 1,100 merchants directly, and more than 2,000 indirectly through its white label technology services across
“Merchants want a single platform to provide a range of financing options to their customers and clients, and we’re looking forward to
Avvance launched in October 2023 as
For more about Avvance, please click here.
About U.S. Bancorp
U.S. Bancorp, with more than 70,000 employees and
Deposit products are offered by
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About Magwitch
Magwitch is an open lending platform offering a holistic suite of LaaS (Lending-as-a-Service) capabilities to Financial Institutions, Fintechs, and Merchants. Magwitch's platform provides Banks and Credit Unions the ability to enhance their customer base and expand membership with on-demand customer acquisition through indirect and point of sale financing.
View source version on businesswire.com: https://www.businesswire.com/news/home/20250130558282/en/
Media contact:
Joe Rauch,
joseph.rauch@usbank.com
Source: U.S. Bancorp
FAQ
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