Mastercard and LoanPro to Launch Installment Loan Cards

Mastercard and LoanPro plan to launch a program that will enable lenders to deliver installment loans through virtual and physical cards.

The Loan on Card program is set to launch in 2026, the companies said in a Tuesday (Dec. 16) press release.

The program will give lenders greater control over loan enablement by allowing them to combine the structure of a fixed installment loan with the convenience of a Mastercard card, according to the release.

For borrowers, the program will provide instant access to money that can be used anywhere Mastercard is accepted, the release said.

Loan on Card will be powered by Mastercard’s global payments network and the Mastercard Installments program, while LoanPro will work with issuing banks and lenders to enable the launch of the program, per the release.

“Together, Mastercard and LoanPro intend to help lenders to deliver flexible funding to consumers and small businesses with the reach and trust of the Mastercard network,” Stefany Bello, senior vice president, digital partnerships, FinTech and enablers, U.S. at Mastercard, said in the release.

LoanPro CEO and co-founder Rhett Roberts said in the release: “The launch of the Loan on Card program will offer a new way for lenders to deliver loan funds directly into the hands of consumers and small businesses via the Mastercard card in their virtual wallet on their phone, and ready to go.”

Mastercard launched Mastercard Installments in September 2021, saying this buy now, pay later (BNPL) program would exponentially broaden point-of-sale installment lending for consumers and merchants by creating a new class of lenders to enable it anywhere Mastercard is accepted.

Mastercard Installments meets the need for versatile solutions that fit a rapidly changing ecosystem, Seema Chibber, executive vice president of core products for the Americas at Mastercard, told PYMNTS in an interview posted in April.

“We’ve literally seen an explosion in the preference for installments,” Chibber said. “And when you put it all together—people seeking expanded buying power, control and financial management, and the flexibility and convenience of a digital experience—we had to be ahead of this trend.”