Walmart partners with Affirm to offer alternative financing option
Category: #retail  By Pankaj Singh  Date: 2019-02-28
  • share
  • Twitter
  • Facebook
  • LinkedIn

Walmart partners with Affirm to offer alternative financing option

Walmart may have chosen to partner with Affirm specifically for its younger user base and as a means to reach millennial shoppers.

Affirm, the financial technology company that offers consumers a cash or credit alternative when making large purchase payments recently announced that it has entered a deal with Walmart. Under the agreement, 4,000 Walmart Supercenters across the U.S. will offer Affirm’s financing options and in the weeks to come the option will also be rolled out to Walmart.com.

Through the partnership, customers heading to Walmart will be able to check Affirm loan eligibility online and receive real time decision without any impact on their credit score. The credit score will only be impacted when they move forward to use the loan.

On approval the customers can opt for a three, six or twelve- month installments repayment term on purchases between $200 to $2,000. Customers will also be shown repayment amount with the interest displayed in dollars and not in interest rate. There would also be no other hidden fees.

Reportedly, Affirm has focused largely on e-commerce partnerships in the last few years to grow its business. At present it works with various online brands such as Tradesy, Wayfair, Casper, Betabrand, The RealReal, Shopify, Expedia, Reverb and Eventbrite.

Max Levchin, co-founder of PayPal, runs Affirm. Affirm is a business that offers consumers point-of-sale loans and installment plans. Through Affirm consumers who could not avail traditional credit due to bad credit or low credit scores, can make bigger purchases they could not otherwise afford. Affirm uses its own formula for risk calculation and approval of loans.

Critics are of the opinion that such businesses can harm the credit score system and entice consumers into overspending and often refer to such businesses as modern-day loan sharks brought about for millennials who are wary of carrying credit card debt. However Walmart may have chosen to partner with Affirm specifically for its younger user base and as a means to reach millennial shoppers.



About Author

Pankaj Singh

Email: [email protected]   

Pankaj Singh

Pankaj Singh Develops content for Market Size Forecasters, Algosonline, and a couple of other platforms. A Post Graduate in Management by qualification, he worked as an underwriter in the UK insurance domain before deciding to switch his field of profession. With exp...

Read More

More News By Pankaj Singh

Amazon cleared by UK regulators to buy 16% stake in Deliveroo
Amazon cleared by UK regulators to buy 16% stake in Deliveroo
By Pankaj Singh

The eCommerce giant Amazon has been granted permission to purchase a minority stake in the U.K-based food delivery start-up Deliveroo. The firm was able to convince regulators that the deal would not be detrimental to ...

Australia retail industry in disarray with major slump in sales
Australia retail industry in disarray with major slump in sales
By Pankaj Singh

Australia’s retailers are reportedly facing a huge crisis of sorts, with the latest data depicting a massive fall in sales volumes. As the nation’s second-largest state enforces a lockdown to fight the ongo...

Leedy Dental Reveals Renovations and New Dental Implant Center
Leedy Dental Reveals Renovations and New Dental Implant Center
By Pankaj Singh

The Leedy Dental, the U.S-based comprehensive dental practice with expertise in full mouth rehabilitation and implant dentistry, has reportedly completed renovation work in its practice in Abilene, TX.  

...