Cashplus Bank, a digital SME bank, has officially launched a next-generation credit card functionality for small businesses and sole traders.
According to Cashplus, the new credit card employs open banking technology and other advanced features to create a flexible credit product that can offer guaranteed lower interest rates compared to customers’ existing credit facilities.
Cashplus Bank aims to offer maximum flexibility for small businesses to manage their finances and give them the best possible deal for small businesses through a number of key features.
The features include guaranteed pricing, which helps the firm offer guaranteed savings on interest rates and help customers to get off overpriced deals.
Cashplus Bank customers can use their credit ‘account’ as a flexible payments tool, without the need for the card itself. This allows businesses to use credit for purchases with suppliers that don’t accept card payments through the Faster Payments network.
To help on cashflow, Cashplus now offers SME Buy Now Pay Later, this allows business credit card customers to increase that period on purchases from ‘up to 56 days’ to ‘up to 117 days’ for a monthly fee and to restructure their credit card spend as an instalment loan, either for a short interest free period or as a longer-term loan.
Cashplus Bank CCO Paul Schooley said, “We know that flexibility is crucial for small businesses, especially at a time when companies are facing rising costs. Business needs can change very quickly and the ability to manage cashflow by changing the terms of a loan or by using credit to cover a bill that can’t be paid by card could make all the difference to a growing SME.
“UK small businesses provide the vast majority of private sector jobs and will be crucial to growing the economy out of recession, yet they continue to be poorly served by incumbent banks, so we want to offer flexible credit, tailored to their needs, and offer a better deal though our guaranteed pricing tools.â€
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