Venmo Launches Its First Credit Card

Oct 14, 2020FinTech, News

Earlier this month, Venmo launched its own credit card, issuing it to select Venmo customers. This comes after approximately a year of the company teasing a possible credit card offering, as well as a debit card released in June 2018. Cardholders can make statement purchases at mobile and online retailers that accept Venmo, as well as send funds to the connected bank account or debit card.

“We know you already rely on Venmo to manage different aspects of your financial life—whether it be sharing and splitting payments with your friends, shopping at online retailers that accept Venmo at checkout, or having your paychecks sent directly to your balance with Venmo,” wrote the company in a blog post announcing the card’s introduction. 

According to Banking Dive, the card offers many cash back rewards in categories like gas, health and beauty, groceries, transportation and travel, entertainment, and dining and nightlife. Cardholders can earn between one and three  percent cash back on eligible purchases. 

Cardholders will also receive custom QR codes that they can scan to split costs with other Venmo account holders. According to a company statement, customers can use a virtual card to shop online before they obtain their physical card. The physical card also includes an RFIDchip to ensure contactless checkouts.

Earlier this year, Venmo launched other digital features to help simplify payments and strengthen relationships between consumers and small businesses. The company’s Business Profiles feature introduced in July allows small businesses to make profiles and accept consumer payments. Additionally, CVS began incorporating Venmo QR codes into its checkouts in August. 

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