Monzo now offers virtual card payments for Flex

By John Reynolds on Monday 29 November 2021

Digital Banking

Monzo said that following early customer feedback, the digital bank is offering users the option of using the virtual Flex card for contactless in-store payments.

Monzo now offers virtual card payments for Flex
Image source: Monzo.

Monzo customers will be able to use a virtual card to make contactless payments when making purchases through its new buy now, pay later product.

Monzo, which has over five million customers, launched its buy now, pay later product Flex in September, as it looked to take on the likes of Klarna and Clearpay.

It is offering its customers credit limits of up to £3,000 and allow them to spread the cost of purchases over three, six or 12 months.

Monzo has been one of the first banks to launch into the buy now pay later sector.

The buy now, pay later sector has seen recent explosive growth, with millions using the alternative payment method in the UK, tempted by spreading purchase costs interest-free at the checkouts.

But critics say buy now, pay later encourages people to spend more than they had planned and getting into debt that they cannot easily pay back.

The addition of virtual cards will mean that Monzo customers can make contactless Apple Pay or Google Pay payments in-store.

Monzo said it made the move of adding virtual cards following early customer feedback.

For online transactions, customers enter their card details at the checkout. After making a payment, shoppers select an instalment plan and pay the first part.

Customers must have enough funds in their current account to cover at least the first minimum instalment and the transaction must be over £30 for the payment to go through, Monzo said.

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Companies in this Article:

Afterpay
Klarna
Monzo

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