American Express Launches Monthly Instalment Plan, 'Plan It'
American Express (Amex) has announced the launch of a new monthly instalment payment offering, Plan It, enabling its cardmembers to pay off purchases or a portion of their balance in equal monthly instalments.
With Plan It, Amex cardholders in the UK can pay off purchases on their statement or a portion of their monthly bill in three, six or 12-month instalments.
Launching Plan It – How it works
Per Plan It’s launch, Amex cardmembers with a credit card can select a particular transaction, or a selected amount from a most recent statement to put into instalment plan of either 3, 6 or 12 months.
It could almost be seen as Amex’s move into offering a Buy Now Pay Later (BNPL) type service within the credit experience, although, unlike true BNPL offerings, Amex will charge a fixed monthly fee for customers’ instalment plans.
This fee will be displayed to cardmembers at set up, and – as a fixed fee – will not incur any interest on any balance in a cardholder’s instalment plan.
Indeed, Amex cardholders can still accrue Membership Rewards points when undertaking a Plan It instalment plan. What’s more, Plan It will be on offer to both consumer credit cards and the BA business credit card.
Plan It instalment plans can be set up from the Amex app, or in a cardmember’s online account. Once set up, the instalment is automatically included in the ‘minimal due’ payment issued each month.
Ricky Bonham, Vice President of American Express UK, says: “We know our cardmembers value flexibility including in how they pay. With Plan It, our credit card customers can now pay at their own pace, continuing to earn rewards as they do so on everything from a new vacuum cleaner to their next big holiday.
“As a business regulated by the FCA, we’re also delighted to be launching an instalment plan that offers transparent fees and no hidden charges.”
There must be a minimum of £100, and a maximum of 85% of the statement balance, in a plan. Amex Charge Cards or not eligible for this new offering.
**************
Make sure you check out the latest edition of FinTech Magazine and also sign up to our global conference series – FinTech LIVE 2024.
**************
FinTech Magazine is a BizClik brand.
