Afterpay Launch Savings Account In Westpac Deal
Buy-now-pay-later platform, Afterpay, has inked a deal with Westpac to launch a savings account from next financial year – the first major deal between with the fintech and a ‘big four’ bank.
The news comes as shares in Afterpay continue to boom, soaring a whopping 700% since March.
The company states the new banking product would complement its existing business model wurg “additional, customer-centric alternatives to traditional banking products.”
The Afterpay savings account will gain new features over time, with launch activities including basic banking, budgeting and cash withdrawals.
“We are excited to leverage the bank-as-a-service platform to provide customers with a different way to manage their finances, without relying on traditional banking services,” states Afterpay Chief Executive, Anthony Eisen.
“We applaud Westpac’s foresight in curating this innovative digital platform and welcome their desire to partner with Afterpay to meet the changing needs of a powerful next generation of customers.”
Afterpay says it will seek to roll-out Westpac’s digital banking platform capabilities across all of its markets.
The news comes as consumer behaviour moves towards BNPL offerings amidst a jump in e-commerce during the coronavirus pandemic.
It comes after some commentators slammed Afterpay for promoting debt accrual within the millennial community, with the company asserting its new banking tools will offer consumers access to more efficient budgeting tools and spending insights.
Shares in Afterpay are trading up 3.48% to $100.93 just after 10:30AM.