NAB Takes on Afterpay With No Interest Credit Card
NAB has sought to take on Afterpay in the booming buy-now-pay-later (BNPL) market, by launching Australia’s first zero interest credit card.
The card seeks to claw back some of the customers who have transitioned away from high-interest credit cards towards installment-based BNPL platforms.
The new millennial-focused NAB StraightUp card offers up to $3000 in credit, and accompanies no late payment fees, no annual fees and no foreign currency fees.
There is a flat monthly charge depending on the credit card limit, with no monthly fee paid if the card is not used.
The monthly charge can range from $10 for a $1000 limit to $20 for a $3000 limit.
NAB states the card was created after receiving feedback from savvy customers who wanted more control over their finances.
The card’s launch comes as online shopping booms amidst the coronavirus pandemic, and shares in BNPL platforms such as Afterpay continue an upwards accent.
Renowned e-payment operator, PayPal, recently debuted its own Pay-in-4 installment based platform in the US, which does not incur extra fees onto retailers.