Credit card startup Zed secures license from BSP

Zed credit card

MANILA, Philippines — Startup firm Zed Philippines Inc. on Wednesday said it has secured a license from the Bangko Sentral ng Pilipinas (BSP) to operate as a standalone credit card issuer.

This marks the next step in its business venture in the Philippines where it is eyeing to onboard close to 40,000 users initially.

The credit-led neobank said it received its certificate of authority to operate on Monday after operating in a BSP-sanctioned pilot for the last six months.

“Our BSP license makes us the first Philippine neobank to offer credit cards as a standalone issuer,” company founder and chief executive officer Danielle Cojuangco-Abraham said in a statement.

“This independence and our foundation as a technology company means we can rapidly and continuously improve our product, unconstrained by legacy systems,” Abraham added.

Zed founders Steve Abraham and Danielle Cojuangco Abraham

Rollout

The company said that its Zed card is officially rolling out to the public on an invite-only basis, starting with its waitlist.

According to the lender, it has seen an overwhelming demand for its no-interest, no-fees Mastercard Titanium credit card, with around 40,000 sign-ups since launching its waitlist in March this year.

The firm said that those on the waitlist will receive invitations to apply for a Zed card in the coming months.

“We’re overwhelmed by the excitement for Zed and the number of signups we’ve received. Given the significant demand, it will take some time for us to open up spots for all 40,000 individuals on the waitlist,” Abraham said.

Zed Philippines is backed by a $6-million funding from US-based Valar Ventures. INQ