U.S. Bank is expanding ExtendPay, the buy now, pay later (BNPL) program it launched a year ago.
The Minneapolis bank stated in a news release that the program lets buyers spread the cost of purchases into fixed monthly payments with a monthly fee, but no traditional interest.
Holders of U.S. Bank cards who use the system can keep any rewards they earn for using their cards when using ExtendPay. Buyers have the option of spreading payments over three to 24 months.
While some BNPL systems depend upon shoppers applying to use extended-pay options at the time of purchase, U.S. Bank’s system makes the option available to its card holders independent of any programs retailers or other vendors offer.
“We launched ExtendPay in 2021 to give our cardmembers choices and flexibility in how they pay their U.S. Bank consumer cards,” Steve Mattics, head of retail payment solutions at U.S. Bank, said in a prepared statement. “The response from our customers has been tremendous — especially during the most recent winter holiday shopping season. Now, we’re improving the customer experience through streamlined enrollment, expanded eligibility and the ability to set up an unlimited number of plans.”
The bank is making ExtendPay available to holders of business accounts under the just-announced changes. It is also offering ExtendPay to business cardmembers for the first time.
U.S. Bank says it had about 70,000 employees and $573 billion in assets as of the end of 2021.
