Momnt and Acorn Finance Launch Home Improvement Loan Partnership

Momnt and Acorn Finance have teamed to offer a lending solution for home improvement merchants.

The collaboration combines Acorn’s direct-to-consumer (D2C) lending platform with Momnt’s embedded financing offering in what the companies said is a first-of-its-kind partnership, according to a Tuesday (Aug. 8) press release.

“Taking our merchants to the next level is what this partnership is all about,” said Acorn Finance CEO Giri Addanki in the release. “By partnering with Momnt, we’ve given options to our merchants that they couldn’t have accessed on the open market.”

Acorn Finance has incorporated the features of Momnt’s financial technology, such as multiple finance product offers for qualified consumer applications, same-day funding for merchants, and real-time consumer loan decisions, per the release.

“What excites us the most about this partnership is how we’re providing home improvement merchants with unparalleled growth opportunities through our products and technology, made possible exclusively through the implementation of embedded lending,” said Momnt Vice President of Partnerships Michael O’Connell in the release.

Earlier this summer, Momnt partnered with online roofing company Roofle to provide financing solutions for roofing contractors.

These offerings are rolling out as consumers have been more reticent about spending on home improvement.

The Home Depot’s pro-business dipped in the first quarter, with CEO and President Ted Decker noting that “lumber deflation and continued uncertainty around underlying demand warrants a more cautious sales outlook” for the rest of this year.

“We saw more pressure across the business compared to what we observed when we reported fourth-quarter results a few months ago,” Decker said in May. “While there was relative strength in project-related categories like building materials, plumbing and hardware, we had many departments with negative comps in the quarter and continue to see pressure in a number of big-ticket discretionary categories.”

The following week, Home Depot rival Lowe’s reported a slight drop in sales due to a shift to smaller DIY projects, as DIY makes up 75% of the company’s business.