Rakuten Picks Credit Startup Imprint for Co-Branded Card

Credit card startup Imprint is launching a co-branded card with eCommerce platform Rakuten , CNBC reported Tuesday (July 22).

Imprint bested banks in a bidding process for the card, a sign of the company’s traction in a space dominated by the likes of JPMorgan Chase and Capital One , the report said.

“We’re talking to Fortune 500 companies about being their partner and them choosing us over Synchrony , over Barclays , over U.S. Bank ,” Imprint CEO Daragh Murphy said, per the report. “We have to kind of walk and talk like we’re a big, important company, even though we still have a startup ethos.”

These discussions are what led Imprint to raise $70 million in capital, bringing its total funding to $330 million, which Murphy said shows the company’s staying power, according to the report.

The company also has roughly $1.5 billion in credit lines from banks such as Citigroup , which it uses to extend loans to customers, Murphy said, per the report. Imprint’s other branded cards include ones from Eddie Bauer , Brooks Brothers and Turkish Airlines .

The Rakuten card is being offered on the American Express network, with issuance assistance from First Electronic Bank, the report said.

“Though we’re not a regulated bank, we’re effectively building a bank,” Murphy said, per the report. “We have to do all the same things as a bank. We’re a capital markets company; we’re a compliance company; we’re a risk and credit and fraud company; we’re a technology company.”

A key feature of the new offering is an additional 4% cash back on purchases, supplementing the existing earnings available through the Rakuten online shopping portal. This bonus cash back is applicable up to an annual spending limit of $7,000.

Beyond online shopping, the new Rakuten card significantly boosts dining rewards. Users will now earn 10% cash back when dining at Rakuten’s network of partner restaurants. Furthermore, everyday essential spending is also incentivized, with cardholders receiving 2% cash back on both grocery purchases and dining at non-partner restaurants.