The Silicon Review ^Asia

Called Mastercard Pay & Split, it is now available to issuers across the Asia Pacific region

Mastercard has announced its "Mastercard Pay & Split" product that will help address the demand for flexible financing options among underserved businesses and help ignite growth in the APAC. This is a world-first, network-based, open-loop installments solution that drew on the consumer familiarity with BNPL offerings.

“Many small business owners rely on personal lines of credit or non-bank lenders to help finance their operations, which is not ideal in terms of sustainable business growth. Mastercard Pay & Split brings new credit opportunities to smaller operators who may not meet certain thresholds for a traditional commercial credit card or term loan, but need working capital to stay afloat or expand. It also opens the door for businesses to generate a credit rating, which can then be used to apply for more sophisticated credit products as the business grows,” said Sandeep Malhotra, Executive Vice President, Products & Innovation, Asia Pacific, Mastercard.

This new commercial product has been tailored for the unique needs of small businesses. It will enable the cardholders to convert any purchase from 80 million merchants worldwide where Mastercard is accepted into monthly or periodic installments. This will help businesses to better manage their cashflows. The Pay & Split will also offer a path for smaller operations to build a credit history.