Affirm provides point‑of‑sale financing that lets consumers buy now and pay over time with no hidden fees or late penalties. The company offers monthly payment plans and has introduced an interest‑free biweekly payment product for transactions as low as $50. Consumers can check eligibility in seconds without impacting their credit score or entering a Social Security number, and merchants can integrate Affirm in as little as an hour. Affirm says it serves more than 5.6 million U.S. and Canadian consumers and partners with over 6,000 merchants. Merchants using Affirm reported historically higher average order values and repeat purchase rates. Recent product and distribution moves include a Shopify partnership to power Shop Pay Installments and the launch of Affirm Savings. Affirm was founded by Max Levchin to offer honest, transparent point-of-sale financing that lets consumers pay for purchases in simple monthly payments with no hidden fees. The company partners with over 2,000 merchants and offers loans up to $15,000, with loans originated in partnership with Cross River Bank. Affirm reports millions of U.S. customers and a net promoter score above 83, and it recorded more than $2 billion in loan volume in 2018. Merchants using Affirm include Walmart, Warby Parker, Verizon Visible, David Yurman, and Room and Board. The company has been expanding its footprint (including a flagship office in Pittsburgh) and plans to use new funding to continue hiring top talent and further scale operations. To date, Affirm has raised over $800 million in equity funding. Affirm is a San Francisco-based consumer finance fintech that offers transparent point-of-sale installment loans that don’t charge compounding interest or late fees. Its platform settles with merchants within three business days, guarantees payments, and assumes repayment and fraud risk while its bank partner Cross River Bank makes the loans. Affirm reports a merchant network of more than 1,200 partners including Wayfair, Expedia, Goodyear, Motorola, DJI, Casper, and Cole Haan, and in April processed over 1 million consumer installment loans. The company launched an Affirm mobile app in October (available on iOS and Android) and plans to introduce new products and services beyond point-of-sale credit to become a broader financial app. Affirm says the new capital will be used to increase credit distribution capacity and grow its merchant footprint. Affirm is a fintech startup offering consumer point-of-sale financing that lets customers purchase goods and spread payments over time. The company issues short-term loans, typically ranging from $50 to several thousand, in partnership with Cross River Bank. Affirm keeps all loans on its balance sheet to demonstrate alignment with investors and to bear risk. It has tripled its transaction volume over the last year and declined to disclose default rates while saying they are strong. Founded in 2012 and led by CEO Max Levchin, the company has raised $525 million to date. The recent $100 million credit line from Morgan Stanley will support its existing financial products, while new product expansion would require additional debt from diversified institutional investors. Affirm is an alternative lending site founded by PayPal co-founder Max Levchin that provides fixed-rate loans for point-of-sale purchases. Its loans carry no late fees, no compound interest, and no revolving balance; the company sells some loans to third-party banks while retaining others on its own balance sheet. Affirm aims to expand its merchant network into more everyday retail, potentially partnering with big-box stores, to increase loan frequency beyond occasional big-ticket purchases. The company plans to develop services outside traditional financing—examples mentioned include money-management, budgeting tools, or other personal-finance products—to drive daily user engagement. Affirm will begin reporting positive and negative repayment data to major credit bureaus to help successful repayments translate into better credit for underserved users. Financially, the company raised a $100M all-equity Series D and has raised $420M in combined debt and equity to date.

Total raised

$1.2B

Funding rounds

6

Latest round

Series G

Latest activity

Sep 2020