NEW YORK — Mastercard and LoanPro plan to launch a new program next year that will allow lenders to deliver installment loans through both virtual and physical payment cards, the companies said.
The program, called Loan on Card, is expected to roll out in 2026 and is designed to combine the structure of fixed installment loans with the convenience and acceptance of a Mastercard-branded card, according to a Mastercard statement.
Under the program, lenders will be able to issue loan funds directly onto a card, giving borrowers immediate access to money that can be used anywhere Mastercard is accepted. The initiative is aimed at both consumers and small businesses.
Loan on Card will run on Mastercard’s global payments network and its existing Mastercard Installments platform. LoanPro will work with issuing banks and lenders to support the rollout and enable loan origination and servicing, the companies said.
“Together, Mastercard and LoanPro intend to help lenders deliver flexible funding to consumers and small businesses with the reach and trust of the Mastercard network,” Stefany Bello, senior vice president of digital partnerships, fintech and enablers for Mastercard U.S., said in a statement.
A ‘New Way’
LoanPro CEO and co-founder Rhett Roberts said the program will give lenders a new way to put loan proceeds directly into borrowers’ hands through a card stored in a digital wallet and ready for immediate use.
Mastercard noted it launched its Installments program in September 2021 as a buy now, pay later-style offering aimed at expanding point-of-sale installment lending for consumers and merchants. The company has positioned the platform as a way to enable installment payments wherever Mastercard is accepted.
