Zeta, a banking tech unicorn and provider of next-generation credit card processing for banks and fintechs, and MasterCard today announced a 5-year global partnership. As part of the agreement, the firms will go-to-market jointly to launch credit cards with issuers around the world on Zeta's next-generation, cloud-native, fully API-ready credit processing stack. Mastercard has underscored the partnership by making a financial investment in Zeta, said a statement issued by Zeta.
"With Zeta's next-generation credit card processing platform, we are fundamentally rewiring the way issuers launch credit card software by introducing new models to legacy mainframe systems," said Bhavin Turakhia, co-founder and CEO of Zeta. Among other benefits, our stack allows issuers to increase the lending book by setting up contextual sales using comprehensive APIs and SDKs; lower costs by billing SaaS as pay-per-use; improve customer satisfaction by launching rich self-service experiences for cardholders; Start and iterate faster with a cloud-native implementation that is infinitely scalable. In Mastercard, we have a partner who is committed to undertake this journey with us and who truly believes in this mission. "
With Mastercard’s support and integrating its capabilities in digital issuance, fraud, risk, loyalty solutions and more, Zeta aims to take the credit card processing industry from the age of fragmented, multi-vendor systems to one that be smart, configurable and unified. Provider systems that truly respond to changing cardholder needs and preferences. With both partners preconfiguring key capabilities behind the scenes, issuers will now be able to launch cards faster, making it easier than ever to design and launch highly customizable and flexible card programs, said the banking tech unicorn.
“As people shop and bank online more than ever, Mastercard is partnering with Zeta to provide issuing banks and fintech innovators with next-generation credit card processing capabilities at scale that will increase security and the convenience of e-commerce, online banking and contactless transactions, said Sandeep Malhotra, executive vice president of products and innovation, Asia Pacific, MasterCard.
Zeta Tachyon Credit is the industry's only modern credit processing stack to offer an integrated loan and credit processing platform. The stack provides functionality that spans the entire credit card software lifecycle, including issuance, basic payments, BNPL loans, fraud and risk, rewards, and more. Using Zeta's comprehensive APIs, issuers can rapidly build new revenue lines such as BIN/balance sheet sponsors by providing a complete credit banking (BaaS) and embeddable banking platform to co-brands, fintech, and affinity partners. Additionally Zeta offers a comprehensive suite of managed services to its clients, including servicing and collections, amongst others.
The two companies' collaboration began in 2018 in the Asia Pacific region when Zeta joined Start Path, Mastercard's global startup engagement program, and continues to gain momentum with Zeta's recent addition to Engage, the network of Mastercard developer partners. Through Engage, Zeta will be able to access the Mastercard network to pre-assemble or bundle products and services, including Mastercard's Digital First and Fintech Express programs. The programs will provide instant KYC and verification, instant issuance, provision and use of a digital card, according to the press release.