Newt Corporation an integrated platform for digital financial services, has announced that it has entered into an agreement with Element Bank to issue branded credit and debit cards in conjunction with Newt’s upcoming lending program.
Under the terms of the Agreement, Newt’s subsidiary jointly with Element Bank will issue branded credit and debit cards to every employee who downloads and signs on to Newt’s Lending-as-a-Service (“LaaS”) application, white labeled by their employer. The credit program cards link directly to a mobile wallet within the mobile application, allowing employees to make payments with the card, pay bills, receive payroll advances, and access credit for purchasing products online and in stores, all while developing their credit score.
Newt intends to provide access to more competitive credit offerings with reduced fees to employees on their mobile phones, targeting the unbanked market. Newt’s objective is to utilize agile, easy to use, resilient tech architecture, and to provide access to competitive credit and financial services on its platform to users that may be traditionally unbanked, helping them establish credit and access the digital economy, while working with employers to benefit their employees’ financial wellbeing.
Sergio Maya Aleman, CEO of Latin America of Newt, stated: “Signing this agreement with Element Bank provides us with more tools to service our customers and expand our network in Mexico. This partnership reinforces our ability to integrate digital solutions for our B2B customers and enhances our business model, including our credit services. Our goal is to provide more financial accessibility and support social inclusion by providing our business customers with effective solutions for their employees. We believe this will enable Newt to grow, increase our transactions and revenue participation in credit.”
