PURCHASE, N.Y.—Mastercard announced it is launching Mastercard One Credential, a single digitally connected credential with multiple ways to pay.
With One Credential, consumers will be able to choose the payment option (which may include debit, installments, prepaid and credit) that’s best for them, all through a seamless digital experience, Mastercard said.
Here’s how it works:
“Imagine a financially independent consumer in her 20s named Erica. With One Credential, Erica can tailor her payment preferences, so they’re optimized for her household expenses. She can choose to pay for daily expenses under $100, like groceries and fuel, from her checking account; charge expenses over $100 to credit; and pay for the occasional larger purchase via installments. Erica can set her preferences online or in an app, with full control over how each transaction is funded and a holistic view of her spending,” Mastercard said.
“Today’s consumers expect to be in the driver’s seat,” said Jorn Lambert, chief product officer, Mastercard. “That’s what sparked One Credential. It gives people an innovative way to pay that’s truly personalized to them. While Gen Z may be leading the way, the desire for personalization spans generations.”
Mastercard explained that for issuing banks, One Credential provides a differentiated offering that is “especially appealing to younger consumers who seek digital, personalized payment experiences and are planning their financial futures.”
Mastercard said it also plans to roll out One Credential for small businesses. One Credential is designed so that consumers and small businesses using it can access even more funding options and set payment preferences around transaction type and time.