Afterpay is closing down its Money app from next month, and ending its relationship with Westpac, due to conflicts with parent company Block’s Cash App.
Money by Afterpay launched last October, with the buy now pay later operating offering savings accounts backed by Westpac’s banking licence.
It has stopped accepting new customers as of today, and will shut for good on October 10.
Block is readying a launch of its very similar Cash App in the Australian market. Given Block purchased Afterpay last year, it makes little sense to have competing products in the market.
Afterpay Money’s entire team will move across to work at Block
“Our decision to move in this new direction is due to our exciting next chapter with Block, particularly as we think about Cash App opportunities here in Australia,” said Lee Hatton, the lead executive of Money by Afterpay, who is staying with Block.
Afterpay Money’s relationship with Westpac has also ended.
“A change of ownership naturally sees partnerships evolve and we have been working co-operatively with Afterpay on this transition to ensure a smooth customer pathway,” said Westpac BaaS CEO Damien MacRae.
