Stride Bank, Affirm Issue New Debit Card With Pay-Over-Time Loans

On Tuesday, Stride Bank announced a payments program partnership with Affirm Holdings, Inc AFRM, through which it will become a new card issuing partner for the Affirm CardTM. This debit card enables consumers to pay in full or request to pay over time for eligible purchases in the Affirm app.

By serving as a card issuer on the Affirm Card, Stride Bank will help support the growing demand for Affirm’s flexible and transparent payment options.

With 1.7 million active cardholders as of Dec. 31, 2024, the Affirm Card empowers consumers to take greater control over their finances.

Also Read: Affirm Surges on $750 Million Liberty Mutual Deal, Eyes $34 Billion Lending Target for 2025

It provides the ability to apply and convert eligible purchases into pay-over-time loans in the Affirm app. These cardholders benefit from being part of Affirm’s network, which includes 21 million active consumers and more than 330,000 integrated merchants.

Affirm Holdings stock surged 30% in the last 12 months.

In March, Affirm Holdings expanded its multi-year agreement with JPMorgan Chase & Co’s JPM J.P. Morgan Payments unit, further integrating Affirm’s pay-over-time solutions into the bank’s Commerce Platform.

Also in March, Affirm lost its exclusive Walmart Inc WMT loan partnership to Klarna, leading to a rerating by Goldman Sachs analyst Will Nance. The analyst noted a lower financial impact of Walmart’s partnership termination than expected on Affirm due to Walmart’s history with third-party credit providers and the lower profitability of the Walmart partnership.

Affirm is poised to benefit from BNPL’s growth in e-commerce, the younger generation’s preference for installment financing, and BNPL’s more tailored credit offerings compared to traditional credit cards.

Price Action: AFRM stock is down 0.02% to $45.18 premarket at last check Tuesday.

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