Fast-growing British fintech Fly Now Pay Later, which offers consumers a new and more flexible way to finance travel, has signed a deal with Cross River Bank, the New Jersey-based financial services organisation and Banking-as-a-Service (“BaaS”) provider.
Under the agreement, Fly Now Pay Later will utilise Cross River’s FDIC License to serve consumers in the US. The partnership will also facilitate the rapid rollout of Fly Now Pay Later’s product lines to a range of existing partnerships at checkout, and to a wider direct-to-consumer audience via the business’s ‘anywhere’ app.
It means that US consumers will no longer be required to pay for travel in full at the time of booking – easing the financial burden of arranging a trip and helping to facilitate a smoother and less stressful booking experience, through spreading the cost over time.
A recent study showed that two in three respondents would be more likely to buy from a travel provider if it allowed them to pay in instalments.
The partnership between Cross River and Fly Now Pay Later comes at the perfect time, as travellers gear up to begin exploring the world once again.
“There are tens of thousands of people who have families around the world who need a frictionless way to finance their flights.” said Jasper Dykes, CEO of Fly Now Pay Later.
“By removing financial boundaries, we hope to open the post-covid-19 world for travellers and reconnect people with their friends and families around the globe.
“As a trusted financial services organisation, Cross River’s expertise and innovation, together with Fly Now Pay Later’s flexibility and affordability, will allow customers an entirely streamlined and stress-free solution when financing travel.
“Further to our successful pilot program in the US, we are already seeing a very strong demand from consumers who are presently utilising Fly Now Pay Later primarily to spread the cost of their domestic flight and hotel purchases.
Further regions of focus for Fly Now Pay Later will include France, Italy, Spain and of course further expansion to our existing German segment. We look forward to supporting our travel partners as closely as possible as the travel industry emerges from the global covid-19 pandemic.”
Defying the downturn, Fly Now Pay Later, founded by CEO Jasper Dykes (32) in 2015, recently secured a further £10million ($14million) in Series A funding, bringing its total to £45million ($62million). It now serves thousands of consumers in the UK, US and Germany.
Fly Now Pay Later is aiming to create over $1billion of enterprise value within the next 18 months, driven by the success of its direct to consumer app, checkout integrated solution with and the rapidly expanding Buy Now Pay Later sector.
Adam Goller, Head of Fintech Banking at Cross River said; “Our ability to adapt and build technology to meet the demands of businesses and consumers is what sets us apart.”
“We’ve seen how consumer behaviour has changed in recent months, and now, with our partnership with Fly Now Pay Later, we are excited to fuel new ways to finance travel.”
Since its launch in late 2015, Fly Now Pay Later has focused on building a best-in-class product around its audience and their purchasing habits; seeing demand and customer loyalty solidify in the process.
It can be used to book flights, hotels, package holidays, car hire and more and offers frictionless financing options to support businesses and the end consumer.