Collaborating with Mastercard and BNI, Kredivo Launches Infinite Card Digital Loan

PT FinAccel Finance Indonesia through Kredivo is intensively expanding digital credit access through several collaborations. This time, Kredivo launched “Infinite Card” by cooperating with global electronic payment network provider MasterCard.

Infinite Card is a virtual credit card that can be used to transact on all e-commerce and online platforms included in the merchant partner network. Kredivo cooperates with BNI as a loan partner in Infinite Card.

Users can transact with Infinite Card using the Kredivo loan limit which has a maximum limit of up to 30 million Rupiah. Users also need to enter some card details (credentials) when making payments at online merchants.

The interest charged on Infinite Card transactions is the same as Kredivo’s interest, including 0% for 30 days and 3 months tenors; and 2.6% interest per month for 6-12 month installments. Several merchants who have accepted the Infinite Card, such as Gojek, Grab, Shopee, and Traveloka.

According to Krishnadas VP Business Development FinAccel, this collaboration has a strong added value considering that MasterCard has wide acceptance with its position as a payment technology leader in the world. MasterCard has also partnered with millions of merchants.

“Therefore, we can also provide digital loans with unlimited acceptance points to accommodate the needs of our 5 million users,” said Krishnadas at the virtual launch event.

Kredivo’s main goal is to be able to reach people at various levels as a provider of open-loop payment methods, especially in the retail sector which has been the strength of its digital credit services in Indonesia.

Meanwhile, Mastercard Indonesia Country Manager Navin Jain added that this collaboration also supports the government’s agenda to increase financial inclusion and encourage cashless penetration in the country.

Kredivo Co-Branding Service

Previously, Kredivo had implemented a PayLater co-branding strategy through collaboration with PT Bank Sahabat Sampoerna (Bank Sampoerna) to present the Flexi Card.

Unlike the Infinite Card, this paylater card is physical and can be used for offline transactions through the National Payment Gateway (GPN) network.

However, all Infinite Card and Flexi Card transaction activities can be monitored through the Kredivo application. The interest scheme charged is also the same as the interest offered by Kredivo. The co-branding strategy has actually been widely used by several lending and banking platforms.

The advantage is that both parties can take advantage of each other’s ecosystem to reach new customer bases or market segments. Several digital platforms have also launched similar initiatives by cooperating with banks as loan providers.

For example, Traveloka’s PayLater Card credit card with BRI. This product offers the advantage of a verification process that only takes a maximum of 1 day. Traveloka also cooperates with Mandiri for similar products.

Then, there is also a credit card co-branding collaboration between Blibli and BCA. This collaboration is aimed at increasing online shopping transactions on e-commerce platforms.

Consumers Increase

Based on the Mastercard New Payment Index 2021 survey, consumers have increased expectations as technology-based payment transactions become easier. Because of this, business people are required to be able to present various payment and purchase options.

MasterCard reports that 80% of respondents agree to prefer shopping at stores that have an offline and online presence, 69% prefer to shop at retail stores that offer the latest payment options, and 60% of them avoid merchants that do not accept e-payment options.

As previously reported, FinAccel is gradually acquiring shares in Bank Bisnis. The first acquisition was carried out in May 2021 by 24% and to 40% in October 2021. Then, the company again increased its ownership portion by 1.15 billion shares or equivalent to 35% in February 2022.

Thus, the structure of share ownership after the acquisition of shares becomes as follows; FinAccel Teknologi Indonesia owns 75% with 2.48 billion shares, Sundjono Suriadi owns 4.91% with 162.4 million shares, PT Sun Antarnusa 4.17% (138 million shares), and the public 15.92% ( 526.3 million pieces).

In an official statement, FinAccel Group CEO & Co-founder Akshay Garg targets the acquisition process to be completed this week. All regulatory approvals for the acquisition of Business Banks, including from the Financial Services Authority (OJK), have been obtained.