Affirm, an affluent financial technology firm offering consumers an alternative to cash and credit for large purchases, has found a remarkable new partner: Walmart. Companies announced this morning that Affirm's funding options will be available in over 4,000 Walmart Supercenters in the US and will be rolled out to Walmart.com in the coming weeks.
Customers can check their eligibility for an Affirm loan online before they go shopping in Walmart to shop, and then receive their decision in real time without having to hit the credit score. (If they evolve and use the loan, it will affect the loan.)
If approved, the customer can choose between $ 200 and $ 2,000 for a 3, 6, or 1
Walmart's online shop buyers receive a unique barcode scanned at checkout by a Walmart employee.
The offer will run nationwide through Walmart Supercenters, except in Iowa. West Virginia and Puerto Rico, and will soon be available on Walmart.com. (Some items are not eligible for funding from Affirm, including alcohol, tobacco, food, pharmacy, personal care, firearms, and monetary services.)
Before today, Affirm had a partnership deal with Walmart owners Allswell and Hayneedle one of the biggest ever.
In recent years, the company has focused primarily on ecommerce partnerships to grow its business and today works with a number of online brands including Casper, Wayfair, Tradesy and The RealReal, Shopify, Reverb , Betabrand, Expedia, Eventbrite and others.
San Francisco-based Affirm, led by PayPal co-founder Max Levchin, is today one of several consumer credit and distribution companies offering installment plans along with Sezzle, Klarna, Afterpay, Place and more. These services can help people with bad credit or low credit to make larger purchases that they would not otherwise be able to afford because they can not apply for a traditional loan. For example, Affirm uses its own formula for risk calculation and credit approval, which includes data science artificial intelligence and machine learning.
Other consumers prefer Affirm and the like because of the flexibility of their payment plans and transparent pricing. (Affirm that there are no accrued interest, compound interest, or late fees.)
Critics warn, however, that these companies can violate the creditworthiness of credit institutions and cause people to overspend. They are often referred to as modern loan sharks, which have been renamed Millennials – a generation that can not carry credit card debt.
The company's Generation X and younger users base could be one reason why Walmart decided to work with Affirm, as. It needs a way to reach millennial buyers.
"We are focused on providing customers with transparent, easy and convenient payment options, and offering Affirm both in-store and online is one way to do that," said Daniel Eckert, senior vice president of Walmart Services & Digital Acceleration in a statement. "Providing various ways to shop and finance selected items without hidden fees is an important way to deliver on our promise to help our customers save money and live better," he added.