What is Lendaily?
Lendaily, Inc. provides merchant branded revolving lines of credit (credit cards) for merchants’ customers at their point-of-sale (POS) as an alternative to conventional credit cards for relatively higher ticket priced goods or services. The merchant benefits when the customer is provided more purchasing flexibility with an alternative revolving line of credit, resulting in more recurring revenue from loyal customers.
Lendaily’s merchant-branded closed loop solution gives merchants the power to augment their loyalty programs with significant savings from reduced interchange fees. Their customers can now have additional ability to purchase products and services solely at the merchant’s website or POS taking advantage of increased discounts and addressing unanticipated events such as medical emergencies or auto collisions where additional access to immediate credit may not be available or practical.
How does the Lendaily loan process work?
Lendaily’s solution enables merchants to offer a revolving line of credit for their customers directly on their website or at in-store facilities. The merchant’s customers simply completes an application online and with good credit, can be approved in less than a few seconds so that they can quickly and easily proceed to complete their purchase. The merchant does not have to provide funding for the loans. Lendaily’s solution provides a revolving credit facility through its partnering bank as well as purchase authentication directly at the merchant’s POS.
What are Lendaily’s private label credit cards?
A Lendaily credit card is a merchant branded revolving line of credit from $1,500 to $5,000 per customer.
Why is Lendaily “Merchant Centric?”
Unlike third party credit applications that directs customers away from the merchant’s website to their own website, Lendaily enables the merchant to retain the customer data. Our solution is branded with the merchant’s logo and colors, retaining customer brand awareness and fostering purchasing loyalty. Lendaily’s participating merchants retain vital customer information to create additional opportunities to build customer loyalty and generate more recurring revenue.
How much can merchants expect to save and gain in revenue with Lendaily?
Lendaily saves money for merchants on transaction fees. The simple difference between the average transaction cost of credit cards (approximately 2.0-3.5%) and our 1.0% per transaction fee saves the merchants on average, 1.0% to 2.5% per transaction. That is quite a benefit for reinvestment, building loyalty programs, passing savings to customers who make recurring purchases, employee expenses, or the bottom line. Why pay the additional interchange fee when you don’t have to?
More importantly, Lendaily’s estimated 5% gain in revenue for merchants provides more opportunities to build customer loyalty and repeat business. Unlike other “pay later” options, once a customer is approved for the first purchase, the revolving credit facility stays in place for future purchases solely with the merchant – they cannot spend it elsewhere. So, the merchant keeps the customer and with the retained base customer data, this translates to more marketing opportunities, more flexibility, and more cumulative profits.
Why are Lendaily’s private label credit cards better than cash or debit cards for Customers?
When customers spend $500-$5000 on a large purchase like new tires, a child’s braces, a vacation or an unexpected event, they typically are reluctant to make an immediate purchase, due to low balances in their checking / debit card account and high balances on their standard credit cards. Paying out of their checking / debit card account means they have less cash for other purchases, while paying with standard credit cards leads to higher balances, higher monthly expenses, and stress.
How much does Lendaily cost for merchants?
There are no capital expenditures for hardware, no monthly fees and no installation costs. The merchant does not have to fund or manage to the customer credit card or revolving line of credit. There are no changes to the existing POS system or gateway. Lendaily simply provides an additional means for merchant’s customers to purchase from their POS or gateway.
How does Lendaily connect and integrate with the merchant’s systems?
The Lendaily web service consists of a simple service-oriented architecture (SOA) that utilizes enterprise-class code (Java JSON) to efficiently pass messages between the Lendaily processing engine, underwriter, lending service providers, and merchants. The core technology is cloud-based and utilizes Amazon Web Services as the backbone.
How secure is Lendaily for merchants?
Lendaily provides and maintain security protocols utilizing industry standard best practices to secure systems. Processes utilize narrow administrative access, white listing, transaction logging and reporting, port security and strong encryption, encrypted tokenization and authentication.