Stripe launches credit card

Payments giant Stripe continues to build out its product suite with the launch of a corporate credit card for business customers.

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Stripe launches credit card

Editorial

This content has been selected, created and edited by the Finextra editorial team based upon its relevance and interest to our community.

The widely trailed launch - which comes just a week after Stripe introduced a lending service - is the latest play to move beyond its core business of making it easy for online sellers to accept card payments.

Stripe argues that many existing solutions for managing business spending simply aren’t well-suited to modern internet companies.

Its card promises to change this. Companies can simply upload their logo directly into the Stripe Dashboard and they’ll have a virtual card instantly or a physical card in a matter of days.

Meanwhile, the card has built-in, dynamic spending controls that can set limits per person, per day, or per category. Users also get real-time expense reporting and dynamic rewards.

The card is free - with no annual fees, foreign transaction fees or late fees. Instead Strip will make money through interchange fees on transactions. However, cardholders must pay their balance in full every month.

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Comments: (3)

Ketharaman Swaminathan

Ketharaman Swaminathan Founder and CEO at GTM360 Marketing Solutions

If "cardholders must pay their balance in full every month", shouldn't this be called "charge card" rather than credit card?

A Finextra member 

"The card is free - with no annual fees, foreign transaction fees or late fees. Instead Strip will make money through interchange fees on transactions. However, cardholders must pay their balance in full every month". 

So it's the merchant once again that ends up subsidising the true cost of these cards via high (non regulated) card interchange fees. Let's hope the Europeasn Commission as part of their review addresses Commercial cards and brings them in-line with consumer cards. Merchants see no benefit from these type of cards - only increased costs.

@Ketharaman. I agree with you! It does indeed seem like a charge card or deferred debit card, but perhaps calling it a credit card puts it into a higher interchange band! 

Ketharaman Swaminathan

Ketharaman Swaminathan Founder and CEO at GTM360 Marketing Solutions

@AnonFinextraMember: In the USA, where debit interchange is regulated and credit interchange is not, misclassifying card type can't be very kosher!

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