Atlanta-based fintech company GreenSky has expanded its network of customers it can seamlessly reach with its point of sale lending solutions by partnering with American Express. The strategic alliance will allow merchants within the American Express network to access GreenSky’s digital payments and loan financing tools.
Over 12,000 merchants use GreenSky’s online lending technology to let their customers apply for loans on the spot, and receive a decision in minutes — the concept is “apply and buy.” 1.7 million consumers have financed $12 billion worth of purchases using the platform.
Their unique technology has made GreenSky one of the most valuable fintech companies in the country. They went public in May, raising over $800 million in an IPO; prior to the IPO, they had raised $560 million and were valued at $4.5 billion.
The Amex-branded GreenSky solution can be accessed by a merchant’s customers using their phone or through the web or mobile app. While on-site, the customer can quickly apply for a loan they need to finance their purchase, receive a credit decision (on loans up to $55,000) within a minute, and get the payment processed immediately.
Initial targets for the tool are home improvement and elective healthcare, GreenSky’s two main markets for alternative financing solutions.
“We’ve long admired American Express and all that the brand stands for,” said David Zalik, CEO and Chairman of GreenSky, in a statement. “Combining our industry-leading technology platform with the security and backing of American Express will allow us to continue innovating to meet evolving customer needs.”
The partnership will also lead to a searchable platform where Amex card members can find local merchants that will accept the GreenSky solution, as well as those out-of-network, and apply for a direct-to-consumer loan for a purchase. That solution will be offered for home improvement merchants, initially in five cities, and will go online later this year.
Following the partnership announcement, GreenSky stock jumped 14 percent, though by close of business on Wednesday was back to within $1 of the previous share price of about $17.
GreenSky employs about 1,000 total across three offices, most at their headquarters in Atlanta.
“Atlanta is a great place both to raise a family and build a company. We are a technology hub and our city’s support of entrepreneurship is unprecedented. Additionally, the tech talent here is top-notch and continues to grow and evolve,” Zalik told Hypepotamus in an interview last year.