Member Exclusive, Payments

What Marqeta’s entry into the credit card industry means for Marqeta the brand

  • Marqeta announced a new partnership with the First National Bank of Omaha to expand its partner ecosystem as it prepares for a credit launch.
  • Marqeta wants to become a one-stop shop for brands looking to launch card services.

Email a Friend

What Marqeta’s entry into the credit card industry means for Marqeta the brand

As 2021 rounds up, card issuing platform Marqeta is heading into 2022 at full throttle. In February this year, having already established itself in the debit card market, the firm announced its expansion into the consumer credit card market. Last week, the firm revealed a key development in that program: a partnership with the First National Bank of Omaha (FNBO). The collaboration is intended to expand Marqeta’s ecosystem of partners, enabling its customers to launch modern credit cards.

As the American economy continues to recover from the pandemic, consumers’ appetite for credit has notably increased. On the other hand, banks’ appetite to lend has also increased. 34.1 million new bank cards were originated in the US this year, up almost 42% from the previous year, according to a report by Equifax. The report also found the average credit limit for all bank cards issued in June 2021 to be $4,517, up almost 16% from June 2020. This overview helps explain why firms originating in the debit sphere are now looking to expand into credit offerings.

“With 52% of card spending happening on credit in the US, this is a massive market opportunity that is underserved by current technology options that have done little to modernize the card experience,” Vidya Peters, Marqeta’s COO, said in a conversation with Tearsheet. “Our credit card issuing platform is a critical strategic priority for Marqeta to ensure we’re properly attacking our total addressable market and continuing to deepen our competitive moat in Modern Card Issuing.”

Marqeta’s credit offering will allow its clients to launch credit cards. Using the firm’s open API technology, partner brands will be able to embed the card experience directly into their app ecosystem. In addition, the API enables partners to extend credit applications, onboard accounts, and evolve cards to meet changing customer needs. Marqeta’s platform also includes a self-service dashboard, which clients can use to configure and update credit products. 


This content is available exclusively to Tearsheet Outlier members.

Tearsheet Outlier information and signup Missing out? Subscribe today and you’ll receive unlimited access to all Tearsheet content, original research, exclusive webinars and events, member-only newsletters from Tearsheet editors and reporters and much more. Join Outlier now — only $49/mo. Already an Outlier member? Sign in to your account

0 comments on “What Marqeta’s entry into the credit card industry means for Marqeta the brand”

Member Exclusive, Payments

Payments Briefing: Is the ‘Apple Pay Later’ hype warranted?

  • This week, we review the hype around Apple Pay Later and try to determine how much of it is justified.
  • We also look at Square’s move to bring Afterpay to in-store purchases, making it even easier to pay in four – and how this greater ease could lead to overspending and growing consumer debt.
Ismail Umar | June 23, 2022
Member Exclusive, Payments

How the global microchip shortage is affecting the payments industry

  • While chip-based payment cards face the biggest threat, experts say the only aspect of payments immune to the shortage is physical currency.
  • As banks look to address the problem, one of the solutions being discussed is extending payment cards' expiration dates.
Subboh Jaffery | June 20, 2022
Payments, Podcasts, What's Happening in Payments Podcast

What’s Happening in Payments Ep. 8: Klarna and the future of BNPL, PayZen’s ‘Care Now, Pay Later’, and Mastercard’s ‘Smile to Pay’ system

  • This week, we discuss whether BNPL offers a sustainable business model for providers, and whether it’s even viable as a standalone business.
  • We also talk about PayZen’s ‘Care Now, Pay Later’ offering, as well as Mastercard’s ‘Smile to Pay’ system, and what it tells us about the future of privacy and security in payments.
Ismail Umar | June 17, 2022
Payments, Sponsored

International remittances: A money movement lifeline ripe for digitization

  • Digital transformation is simplifying how people move money around the world, yet barriers to international P2P transfers remain.
  • In honor of International Day of Family Remittances, Visa shares four tips for how policymakers can better streamline digital remittances.
Visa | June 16, 2022
Member Exclusive, Payments

Payments Briefing: PayZen wants to combat rising medical debt with ‘Care Now, Pay Later’ solution

  • This week, we explore how PayZen uses a variant of BNPL to tackle healthcare affordability in the US.
  • We also hear from Stax CEO Suneera Madhani on the gender gap in fintech.
Ismail Umar | May 26, 2022
More Articles