Canopy Servicing Announces Referral Partnership with Marqeta to Power BNPL’s Configurable Solutions
SAN FRANCISCO–(BUSINESS WIRE)–Canopy Servicing, the most configurable platform for managing and servicing loans, today announced a benchmark partnership with Marqeta, the modern global card issuance platform, to enable banks , credit unions, and fintech companies to offer next-generation payout and lending products with configurable BNPL solutions.
Configurable payout products, such as Buy Now Pay Later payments, are increasingly popular with borrowers looking for clear and transparent repayment terms. Buy Now Pay Later payments, also known as BNPL, are expected to account for 24% of all purchases of physical goods by 2026 and reach $995 billion worldwide, according to Juniper Research.1 Unlike traditional installment products, which were largely the same, configurable products can be tailored to the needs of each borrower.
“BNPL’s rapid growth has revealed consumer dissatisfaction with traditional credit and lending products, as well as the constraints of legacy service infrastructure,” said Matt Bivons, CEO of Canopy. “Next-generation payout, credit, and lending products require the flexibility of a modern loan servicing and servicing infrastructure, as well as the scalability and control of modern card issuance.”
While some early BNPL providers popularized BNPL for e-commerce transactions, companies like BHG Financial have made BNPL a viable option for big ticket items through its NaluPay product offering. Additionally, card issuers are increasingly offering convertible payments; that is, they offer borrowers the option of converting an item purchased with a revolving line of credit into an installment loan. This kind of flexibility is one of the benefits of a modern loan management and servicing platform. These types of individual policies increase affordability by reducing the cost of credit for consumers and businesses.
Marqeta powers the global monetary movement and created modern card issuance. “Configurable installments will continue to be a substantial part of loan products in the future as consumers increasingly seek more flexible forms of payment,” said Jazz Samra, Vice President of Global Partnerships, Marqeta. “Through our benchmark partnership with Canopy, we are opening up opportunities for banks, credit unions and other card program providers to offer the innovative BNPL products that their borrowers are increasingly demanding. We look forward to working with Canopy to serve customers in this market. »
To learn more about the Canopy Servicing loan servicing and management platform, visit www.canopyservicing.com.
About Canopy Maintenance
Canopy is a modern loan administration and management platform. Our API-first architecture ensures that any brand can integrate financial products, bring those products to market quickly, and support those products with world-class service in a highly secure and compliant manner.