A new fintech company has launched allowing consumers to pay for flights and holidays online in monthly instalments rather than one lump sum.
Bizpay covers the upfront cost charged by airlines or travel companies and takes monthly payments from consumers or small businesses so they can spread payments out into instalments.
The company, which is backed by Airbus’ BizLab Accelerator programme and “a global bank”, and charges customers a flat “arrangement fee” to use the service. The company believes the flat fee is simpler than a percentage rate and vowed that it “will always be lower than market APRs for credit cards and payday loans”.
Bizpay says it helps providers by giving them heir commission upfront and improving cashflow while airlines, it says, can offer business or first class upgrades in instalments rather than in one go. If the consumer has a change of heart, bizpay says its system allows airlines or travel providers to sell the product for a second time.
Over the next six months, bizpay will gain access to a wide number of Airbus customers, coaches, mentors and experts through its BizLab Accelerator. They will include venture capital, technology, legal, finance, marketing & communications contacts.
Ben Francis, CEO of bizpay, said: “bizpay is a key enabler in the travel industry, helping airlines and other travel providers to sell more flights or other products and become more profitable. Consumers and small businesses get more choice when buying and are able to buy higher-ticket items which previously may have been too expensive to pay for in one go.”
Talks are underway between bizpay and various airlines and other travel providers to implement the company’s software in web booking systems.