In the point-of-sale financing space, fintech Wisetack is taking a different path than big buy now, pay later players by focusing on installment payments for in-person services such as home repairs.
By linking with both banks and software companies, the San Francisco, California-based Wisetack’s platform enables pay over time options for the services industry. Wisetack, which has raised $64 million since its 2018 founding, works with tens of thousands of small services merchants through its software integrations, said CEO Bobby Tzekin during an Aug. 2 interview.
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The company’s fintech infrastructure is embedded into the software those merchants use, allowing the customers of those companies to pay over time for their services, he said. Some of Wisetack’s software partners include Jobber, SmartServ and Thumbtack. Wisetack’s bank partners handle the lending aspect of the transaction.
Wisetack most commonly competes with credit cards, although private label card issuer Synchrony Financial and bank Wells Fargo are other competitors in this corner of the market, Tzekin said.
In June, Wisetack and Citizens Financial Group teamed up. The partnership offers the Providence, Rhode Island-based bank a potential customer base it wouldn’t otherwise have access to, while Wisetack benefits from working with a large financial institution, Tzekin said.
Wisetack, which also partners with San Marcos, California-based Hatch Bank, plans to announce more bank partners in the next couple of quarters, Tzekin said.
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