UK-based fintech giant Revolut has announced plans to roll out a new rewards-based credit card. This development comes from its success in building a couple of personal finance products.
Revolut started out as a prepaid debit card provider and, having registered success there, the company moved on to other ventures. It has now built a reputation in digital banking and is also a crypto service provider.
With over 50 million customers globally, Revolut has taken a big step by entering the rewards-based credit card market. This will be a tough task for the company as the space is heavily dominated by American Express and is limited by many structural factors.
While the plans are still in their early stages, this is good news for its UK customers. Many businesses across different industries, including iGaming, now accept credit cards as part of their payment options, and consumers will be looking for a reliable platform where they can make payments. This is particularly handy in the online gaming space, as many UK players prefer to play at trusted credit card casinos.
Playing into this growing trend, Revolut plans to offer customers a fast and secure way to make online payments. Users will now be able to shop online, pay for food items, play online games, and process transactions using the Revolut reward-based credit card.
With more people using credit cards for their purchases, Revolut enters the market at a good time. As of December 2024, there were over 59 million credit cards issued and in circulation in the UK. This entry will capture the digital-savvy audience that is very intentional about budgeting, online purchases, and investing, which are features that the app already offers.
Using the RevPoints system, Revolut aims to compete with industry players by allowing its users to exchange points for discounts on travel costs and accommodation.
Revolut differs from all other companies because of its digital-first approach. Users will be able to manage their cards from the Revolut app. They would be able to set spending limits and freeze the card if it gets lost.
Revolut’s move to become part of the reward-based credit card space is just the beginning. The company has a vision to become a global financial services app where users can perform a wide range of transactions.
Revolut is looking to create a more robust financial ecosystem that meets the needs of both affluent individuals and its everyday users.
For its credit card, there are reports that it will be tailored to the existing subscription plans on the app. This means that users will get a version of the product that aligns with their financial habits.
The fintech giant also has plans to roll out more features later this year in a bid to widen its portfolio and appeal to the European market.
The company has plans to release an AI-powered money assistant that will help users track their expenses, plan their spending budgets and get suggestions on how they can save money.
Revolut is also planning to launch a mortgage product and a premium private banking service that is targeted at high-net-worth individuals. This tool will provide personalised wealth advice, loan and investment options
These moves say one thing: that Revolut wants to challenge industry giants and change the norm. It’s not here to play catch-up but to redefine what digital banking is all about.
