Railsbank jumps into BNPL market with white-label solution launch

Banking-as-a-service firm Railsbank has unveiled a new white-label buy now, pay later credit solution for retailers.

Railsbank is a global embedded finance experiences platform headquartered in London. The company has locations in the US, Singapore, Australia, Germany, Vietnam, Lithuania, Sri Lanka and the Philippines.

According to Railsbank, its solution is a new way for retailers to offer own-brand, customisable and frictionless payment experience to their customers and helps companies to disintermediate third parties and focus primarily on building firm relationships with their customers. The BNPL market is currently estimated to be worth approximately $3.5trn by 2030.

Through Railsbank’s new solution, customers will be able to split payments in up to 36 instalments without distractions or risk posed by a third party. The BNPL offering is expected to be available in the UK and Germany later this year.

Railsbank COO for UK and Europe Louisa Murray said, “Our solution means that the retailer’s customer does not see the BNPL provider’s brand, but the brand from which they are buying. We want to remove distractions and allow retailers to maximise engagement with their customers. We believe this is a unique offering in the UK and one that will be very popular to a number of different retail verticals including fashion, homeware, travel and sports.

“Customers are increasingly reaping the benefit of checkout financing to help them repay over time. This is supported by digital BNPL providers. But, many of them are building consumer brands in their own right. They’re incentivised to draw customers away to their own platforms, diluting a retailer’s own purchase journeys and brand loyalty. Customers would rather deal directly with their preferred, trusted brands, rather than being routed to a third-party finance provider.

“Our mission is to enable businesses to offer deeply embedded, and relevant financial experiences. We want to remove the distractions and enable new interactions to help retailers materially improve the metrics that matter; conversion, basket size and lifetime customer value. We are excited to add our credit solution to the breadth of experiences that our platform supports today.”

In May 2021, Railsbank joined forces with Plaid to enable companies in the UK to instantly accept bank payments within their app or website.

Copyright © 2022 FinTech Global

Enjoying the stories?

Subscribe to our daily FinTech newsletter and get the latest industry news & research


The following investor(s) were tagged in this article.