July 25, 2024

Lenders can seize opportunities with retail POS lending

**Point-of-sale financing as an alternative payment method is an expanding opportunity for lenders, as Pagaya’s President Sanjiv Das explains on “The Buzz” podcast.**

Auto lender and Pagaya partner Ally Financial predicts that point-of-sale financing will exceed $81 billion by 2030. Das describes this new category of loans as an exciting asset class that will revolutionize lending in the coming years.

Consumers can access retail POS loans for various purposes like medical, educational, or home improvement projects. Instead of applying for a home improvement loan at a bank, they can do so at a retailer like Home Depot.

Pagaya collaborates with U.S. Bank and has recently expanded its partnership to include U.S. Bank’s subsidiary, Elavon’s point-of-sale business.

Das discusses the potential of POS financing and the opportunities it offers to lenders.


1. **What is point-of-sale financing?**
Point-of-sale financing allows consumers to obtain loans for various purposes at the time of purchase, often through retailers instead of traditional banks.

2. **How does Pagaya fit into the point-of-sale financing landscape?**
Pagaya partners with financial institutions to provide seamless integration of its loan approval processes, benefiting both consumers and lenders.

3. **What are the advantages of point-of-sale financing for consumers?**
Point-of-sale financing provides a convenient way for consumers to access credit for immediate needs without having to visit a bank or apply for a separate loan.


Point-of-sale financing presents a significant opportunity for lenders and consumers alike. With the growth potential predicted by Ally Financial, this alternative payment method is set to transform the lending industry. Pagaya’s innovative approach to partnering with financial institutions highlights the adaptability and effectiveness of point-of-sale financing in meeting consumer needs.

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