By using the Grow Credit service, customers will be able to use Spotify and Netflix payments to improve their credit score. Grow Credit was recently launched and will allow people to use a virtual Mastercard, which is a dedicated card for subscription payments. Customers can then use those payments to enhance their credit scores.
Grow Credit also will have a 0% APR offering for its financing, with two tiers. The first is a free tier that will offer an unlimited $25 rotating line of credit. There's also a subscription service priced at $4.99 for a year's service, which will offer a credit limit increase at a maximum of $3000. Both of the tiers will provide FICO scores for free as well as an auto subscription detection system.
Streaming Service Credit Scores
With Grow Credit Streaming Payments Will Improve a Credit Score
Trend Themes
1. Streaming Service Payments - Opportunity for streaming service providers to partner with credit companies and offer credit-building benefits to customers.
2. Virtual Mastercard - Opportunity to develop virtual credit card solutions specifically for subscription payments, improving customer credit scores.
3. 0% APR Financing - Opportunity for financial institutions to provide 0% APR financing options for subscription payments, attracting customers looking to build credit.
Industry Implications
1. Streaming Services - Streaming platforms can leverage credit-building partnerships to attract and retain customers.
2. Credit Card Companies - Credit card companies can create virtual Mastercard options to tap into the growing market of subscription-based credit-building payments.
3. Financial Institutions - Banks and financial institutions can offer 0% APR financing for subscription payments, capturing a new segment of customers focused on improving credit scores.