If you’re all caught up on financial news, you may be familiar with the variety of entryways banks may consider to start their journey into the world of fintech. A major one comes in the form of accelerator programs, where a host recruits a number of startups or individual innovators tasked with developing products and services perfectly suited to the bank’s lineup. Sometimes, like in the case of Alior Bank’s RBL_START, they may even result in a long-term business partnership – earlier this week, the bank has announced a major investment into one of the program’s participants: PayPo.
PayPo specializes in deferred payment technology, which enables clients to order a product online, and pay for it at a later date without any additional costs. Upon reaching the checkout state, the client needs to provide their PESEL number, and PayPo takes care of the transaction. Then, the purchase can be paid off within the next three weeks, and possibly split into as many as four payments. In case a part of the purchase needs to be returned, its value is subtracted from the owed sum. Similarly, the customer will not be charged in an event where their order never arrives.
While PayPo isn’t exactly a newcomer to the fintech world, the startup admits that Alior’s investment will help them reach new markets much faster. The bank has just acquired 20% of their shares. A partnership with such an innovative bank is a great opportunity for us to quickly develop our services in Poland, and expand them to foreign markets – says Radosław Nawrocki, CEO of PayPo. Before entering the accelerator, the startup’s product had earned the trust of a number of major Polish retailers, including Wittchen, Run Colors, and Top Secret. Its services could also be accessed through a popular online payment platform, Przelewy24.
The startup’s participation in RBL_START quickly turned Alior’s attention to the fact that the PayPo’s services could fill a gap in the bank’s current offer. Establishing a partnership with PayPo responds to a new demand for our consumers in the online segment. It also fits into the bank’s strategy by offering a modern payment method – a model which has already been proven to work in other parts of Europe – explains Daniel Daszkiewicz, Fintech Department Director at Alior Bank. We believe that this solution will allow us to reach customers with completely different expectation in regards to online shopping.
Best of luck to PayPo and Alior Bank in their future endeavors! To find out more about the platform, feel free to check out the startup’s website.