- IOUpay (IOU) signs a strategic collaboration agreement with Virtualflex to provide a co-branded Visa prepaid debit card to customers in Malaysia
- The myIOU Visa prepaid card will be issued by Virtualflex in partnership with Fass Payment Solutions
- The agreement is exclusive for three years and renewable for a further three years upon mutual agreement
- Additionally, the company is working closely with a suitably licensed, independent global Shariah advisory firm to gain certification of Shariah compliance for its myIOU buy-now pay-later (BNPL) service offering
- Shares in IOUpay were up 11.11 per cent, trading at 5 cents as of 11:47 am AEST
IOUpay (IOU) has signed a strategic collaboration with Virtualflex to provide a co-branded Visa prepaid debit card to customers in Malaysia.
Through its wholly-owned subsidiary IOU Pay Asia, the company’s myIOU Visa prepaid card will be issued by Virtualflex in partnership with Fass Payment Solutions.
The agreement is exclusive for three years and is renewable for a further three years upon mutual agreement, with key terms including a minimum card issuance of 10,000 cards within the first two years.
There is no commitment schedule over the first two years of the agreement and both companies will work together to integrate the card to the myIOU buy-now pay-later (BNPL) platform.
The minimum amount payable to Virtualflex for card issuance is RM200,000 (A$64,700) and an establishment fee of RM50,000 has already been paid to commence the project works.
The card is to be rolled out in two stages, with the first stage rollout scheduled to commence in July.
Additionally, the company has been working closely with a suitably licensed, independent global Shariah advisory firm to gain certification of Shariah compliance for its myIOU BNPL service offering.
The company expects certification in the September quarter which following completion, IOUpay will offer both conventional and Islamic financing.
Shares in IOUpay were up 11.11 per cent, trading at 5 cents as of 11:47 am AEST.