Slated to launch in 2026, the new solution is positioned to combine installment lending with the digital convenience and global reach of Mastercard’s payments network.
Mastercard and LoanPro have announced a new strategic partnership to launch Loan on Card, a solution designed to enable lenders to deliver loans to approved consumer and small business borrowers through virtual and physical card-based experiences. Set to launch in 2026, Loan on Card will provide borrowers with instant access to funds that can be used anywhere Mastercard is accepted.
Powered by Mastercard’s global payments network and Mastercard Installments Program, Loan on Card will be structured to allow lenders across all asset classes to combine the structure of a fixed-term installment loan with the convenience of a Mastercard card. „This approach will give lenders greater control over loan enablement while providing borrowers with speedy access to funds. LoanPro will work with issuing banks and lenders participating in Mastercard Installments in order to enable the launch of Loan on Card.” – according to the press release.
A new way to lend: Loan on card
„The Loan on Card offering reflects the ongoing evolution in the secular shift in lending. Traditionally, loan providers have relied on ACH transfers to disburse funds, a method that can have drawbacks of immediacy, flexibility, and digital reach. The Mastercard LoanPro partnership aims to introduce a digitized alternative for small businesses, similar to how other verticals like consumer payments have evolved to introduce new digital offerings.” – the company said.
„The Loan on Card concept is designed to enable lenders to deliver fixed-term installment loans directly to approved borrowers via a Mastercard Installments Credential and provisioned to a mobile wallet by default. Borrowers, whether individual or small business owners, would have the ability to use the funds online or in-store. Repayments would be made in predictable installments, without revolving balances.” – Mastercard explained.
The Loan on Card offering also has the prospect of strengthening relationships for lenders with consumer and small business customers by providing instant access to capital through permissioned data, new loyalty programs, while benefiting from the safety and security of the Mastercard network.
“The Loan on Card concept is a powerful example of how technology can simplify lending for financial institutions and borrowers. Together, Mastercard and LoanPro intend to help lenders to deliver flexible funding to consumers and small businesses with the reach and trust of the Mastercard network,” said Stefany Bello, senior vice president, Digital Partnerships, Fintech & Enablers, U.S., at Mastercard.
“Loan on Card has the potential to empower lenders to innovate while maintaining full control over the customer experience,’ said Rhett Roberts, LoanPro CEO and co-founder. “The launch of the Loan on Card program will offer a new way for lenders to deliver loan funds directly to into the hands of consumers and small businesses via the Mastercard card in their virtual wallet on their phone, and ready to go.”
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