Virgin Money to launch BNPL credit card

Virgin Money has announced plans to enter the new buy now, pay later (BNPL) market later this year with a credit card product called Slyce.

Virgin Money says that the product gives customers the flexibility to buy now, pay better, as customers can use Slyce for all their buy now, pay later spending (consolidating it all into one place) with one hassle-free monthly payment, enabling them to manage their money more easily. Another benefit is that any monthly spend over £30 can be spread across 3-, 6-, 9- or 12-month repayment plans to suit individual budgets and paying back in 3 or 6 months is fee-free. For longer plans of 9 and 12 months, an instalment fee is added. The fee is a percentage of the total amount a customer puts into the plan – 9 monthly payments have a 7.5 per cent fee added, and 12 monthly payments have a 10 per cent payment fee added.

Customers can also build their credit score while using Slyce, can spend abroad in any currency with no foreign exchange fees or extra charges and can earn cashback when shopping at retailers including H&M, Sweaty Betty, Space NK and more.

Hugh Chater, Chief Commercial Officer at Virgin Money said. “It’s clear that consumers now expect to be able to pay via buy now pay later plans, so we’re very excited to offer an option that will bring more customers into a regulated credit environment at the same time as offering market-leading terms, flexibility and simplicity. Importantly, Slyce will help our customers stay in control of their spending while also building their credit score for the future – allowing our customers to buy now, pay better on terms that work for them.”