Atomic and Bond Strengthen Partnership with Repay to Offer Consumers New Financial Lifelines
In early June, we announced that we have deepened our partnership with Bond Financial Technologies to enable customers to offer our Repay solution. The idea behind Repay is to give consumers options to pay their financial obligations out of their paychecks, the flexibility to make repayments in installments, access to loans at better interest rates, and the ability to keep their personal finances on track. You can read the full press release here.
In this column, we’ll look at how our partnership works and spotlight early use cases illustrating how customers can integrate Repay to help consumers automate repayments, break up recurring bills such as rent, and contribute to employer benefits programs directly from their paychecks.
“Repay gives consumers the tools to take control of their personal finances, both income and liabilities and for customers to proactively tailor products to their end customer’s financial profile with payroll data. For financially vulnerable consumers, it works as a fractional repayment plan that gives them a lifeline to pay for things they need without having to risk falling behind on bills and incurring an avoidable fee. Meanwhile, our customers now have a novel option to build goodwill with consumers by offering better interest rates while minimizing default and late repayment risks.”
—Jordan Wright, Co-founder and CEO of Atomic
How does it work?
Atomic has been working with Bond, an embedded finance infrastructure provider, to create and open retail bank accounts for consumers without the burdensome integration with a sponsor bank, as well as to manage KYC, ongoing transaction monitoring, and compliance. When someone signs up, Repay connects payroll information and Bond opens a demand deposit account (DDA) for the user, calculates the fractional deposits, manages payment according to the due date, and automatically makes the payments on time. As an added benefit, consumers have full visibility into how their funds are moving around — the system monitors all deposits and distributions, provides continuous access to activities and, when needed, will refund any overpayment to the consumer, usually in under a week.
“Bond is thrilled that we could partner again with our friends at Atomic. Atomic and Bond together bring a seamless, integrated solution to a major problem that often leaves employees confused and employers concerned about their workers’ financial well-being.”
—Roy Ng, Co-founder & CEO of Bond
Use case spotlight: Employer benefits programs
Several partners have joined Atomic’s Repay beta and the initial consumer sentiment for the product is positive. Dónde, which offers travel savings accounts as an employment benefit, enables workers to save and pay for travel, increasing usage of paid time off and improving overall workplace satisfaction.
“Our customers know the importance of taking time off, but their employees must figure out how to save and plan for a vacation in a way that doesn’t add more stress and negate the benefit of time away. Repay can meet a popular pain point for workers to stably fund the account from their payroll and maximize their employer match. Atomic’s solution has made it seamless for us to deliver on our promise to help employees stay centered.”
—Rilee Buttars, CEO of Dónde
From our perspective, Repay saves financially strained consumers from taking out a loan or missing repayment dates by linking payments directly from their paycheck. In the case of an employer benefit, the administrative costs are assumed by employers, making it a desirable option for those seeking easier ways to make ends meet. Our Repay solution is a unique product for customer’s to differentiate their offering and is another way to integrate payroll connectivity to unlock the power of the paycheck.
To learn more, please reach out to connect with our team.
Select media coverage
Thank you to PYMNTS, The Paypers, The Fintech Times, and Green Sheet, among others for featuring the announcement.