OnDeck In Partnership With Visa And Ingo Money To Enable Real-Time Disbursement

The biggest provider of online lending services to small businesses in the United States, OnDeck, has announced the inking of agreements with Visa and Ingo Money with a view to enabling real-time disbursal of loans to clients via Visa Direct debit cards. This will make OnDeck the first online lender to provide real-time access to loans through debit cards already held by the small businesses.

OnDeck’s move is in response to demand by small businesses for faster payment experiences and improved cash flow. In a survey that was conducted recently it was established that approximately 70% of the owners of small businesses possess a debit card specifically for their enterprises. Among the owners of small businesses whose enterprises didn’t have a debit card, about 87% were ready and willing to acquire one in order to enjoy the benefits of real-time money transfers.

Small biz empowerment

“By partnering with Ingo Money and Visa to deliver real-time capital to our customers, we will empower small businesses in the next decade to achieve their goals with the fastest and most flexible credit solutions in the market,” said the chief executive officer of OnDeck, Noah Breslow.

Through Ingo Money’s service for turnkey push payments known as Ingo Push, customers of OnDeck are able to get their funds through a vast prepaid and debit card network. This includes mobile and online wallets, Visa cards as well as a network of over 40,000 points of cash distribution.

10th anniversary

OnDeck’s move to start offering real-time disbursement of loans to small businesses comes a little over a month since the online lender marked its tenth anniversary. In its ten years of existence OnDeck has offered loans worth more than $7 billion to over 70,000 customers who are in various sectors in Australia, Canada and the United States. One of the most active sectors in borrowing has been the retail industry where over $1 billion has been lent out.

Since issuing its first loan back in August 2007, OnDeck has experienced phenomenal growth largely on the back of innovative technology. The loans did not only assist the small business owners themselves but also helped in creating jobs.

A study carried out by Analysis Group on behalf of OnDeck estimated that the initial $3 billion that OnDeck lent out to small businesses in the United States ended up powering approximately $11 billion in economic activity as well as creating over 74,000 jobs across the country.

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