Venmo, the mobile payment service owned by PayPal, announced Monday (Oct. 5) it has introduced its first-ever credit card issued by Synchrony and powered by the Visa network, according to a press release emailed to PYMNTS.
The Venmo Credit Card lets Venmo’s more than 60 million customers to shop, share or split purchases and earn cash back wherever Visa credit cards are accepted, the release stated. It features automatic cash back on eligible purchases and the ability to manage the card in the Venmo app.
A customer’s unique QR code is printed on the front of each card. The code can be scanned in the Venmo app by friends to send payments or split purchases.
“The card gives our customers the same unique Venmo experience they already know and love, in an intuitive, easy-to-use card and rewards program, that’s all seamlessly managed and controlled from the Venmo app,” said Darrell Esch, Venmo’s senior vice president and general manager, in the release.
Card customers automatically earn up to 3 percent cash back on their top spend category, up to 2 percent back on the second highest, and up to 1 percent back on all other purchases, the release stated. Top spend categories change based on the customer’s monthly spending habits.
Cash rewards do not expire, and users can choose to get a statement credit, use the Venmo app to send money to friends, make purchases at online and mobile retailers that accept Venmo at checkout, or transfer the funds to a linked bank account or debit card, according to the release.
In July, PayPal reported a record second quarter. The company credited Venmo’s peer-to-peer payments platform and QR code-based contactless payments system for a big part of its success.
PayPal said that in addition to the overall company’s record performance, Venmo put up all-time-best numbers as well. Total payment volume rose 52 percent to $37 billion, while active users grew by 8 million to more than 60 million.
All told, PayPal posted a second-quarter net income of $1.53 billion ($1.29 a share), up from $823 million (69 cents a share) a year earlier. Adjusted earnings per share came in at $1.07 a share from 71 cents a year earlier.