Payitoff is Launching a Myriad of FinTech Products in 2023— Bringing Robust Consumer Debt Guidance Tools to Every FinTech Portal

Until recently, the only institution that issued credit cards and loans, offered debt refinancing, checking and savings accounts and gave investment advice was a traditional financial institution, but those days are gone.

Today companies like Costco, Hy-Vee, Kroger and Walmart issue their own credit cards, offer checking and savings accounts, sell insurance policies, car loans, mortgages and more. The same is true of digital providers like Credit Karma, which offers checking and savings accounts, Robinhood, which offers stock trading advice, and Payitoff, which provides a solution that makes it easy for any business — from a workplace benefits provider to a financial adviser — to offer personalized debt management services.

“We give financial institutions and apps the infrastructure to offer consumers automated smart guidance on their debt — something that they'd previously either had to go to a financial planner/advisor for, or struggle with alone,” says Payitoff CEO Bobby Matson. “It's easy for financial institutions and apps to embed, which means it's incredibly easy to set up.” 

Just as the first two decades of the 2000s saw virtually every company become a tech company — or at least offer some digital products and services — the coming decades could see a huge expansion in the availability of financial services that were previously the exclusive domain of banks. In recent years, FinTechs as well as brands with an unrelated core product or service have proven the value of expanding into financial services, and new technologies like Payitoff’s API are only making it more feasible for others to follow suit.  

“Offering consumers actionable insights on their debts benefits any business because it empowers consumers to improve their quality of life, the amount of money in their pockets, and associate loyalty with the business,” Matson says. “Maybe in the future we will see more traditional businesses getting into automated FinTech.” 

Matson adds that the availability of such technologies is rising alongside the amount of everyday Americans that could benefit from automated financial services like debt management.  

“Consumer debt is only growing right now, and borrowers are looking for help,” he said. “The partners who offer our technology are going to be the winners in the market for offering these advantages to consumers.”

Matson explains that access to debt management is in high demand as American debt continues to spiral out of control. In late 2022 borrowing reached unprecedented levels, with liabilities among the bottom 90% of earners jumping $300 billion as compared with the same period one year prior. 

“The implications of the debt pile-up we're seeing now means borrowers won't be able to afford financial products, which could have serious economic implications,” he said. “The brands that can help these borrowers overcome their debt will be capitalizing on a huge opportunity to not only do good in the world, but also earn loyal customers for the rest of their financial futures by building this relationship with them.”

Matson knows what it’s like to be on the bottom end of a crushing debt cycle. He founded the company after he and his partner found themselves delaying life plans — like buying a home and having children — as a direct result of their six-figure student loan and credit card debts. He explains that borrowers often find themselves overwhelmed by not only the volume but also the complexity of their debt. “Borrowers need a simple, accessible way to understand their best next steps, and that there is a path forward — that's where our consumer debt infrastructure comes into play,” he says. 

Payitoff’s software provides personalized recommendations and guidance by tapping into the borrower’s account, much in the same way that banks and investing platforms use that visibility to offer automated financial services at scale. Payitoff, which can be easily embedded into an app or website, can also execute third party payments. “For example, we help workplace benefit providers enable employers to contribute to their employees' debts through Payitoff,” explains Matson. 

With interest rates and inflation on the rise, Matson says borrowers need these services more than ever, providing a unique opportunity for FinTechs and other businesses to further their relationship with customers. 

“The technology to help these borrowers exists,” he says, “so it's up to FinTechs to embrace it and help borrowers get their financial power back.”

This post was authored by an external contributor and does not represent Benzinga's opinions and has not been edited for content. This content contains sponsored advertising content and is for informational purposes only and not intended to be investing advice.