A curious new fintech platform called convertCASH claims it will pay for your monthly car and home instalments first without charging any interest.
“It is interest-free, no borrowing with instant approval. We only require the users to have a credit card as security while using convertCASH’s ‘Pay for you First’ benefit. They can then pay back to the credit card up to 45 days later without any interest charge,” said convertCASH co-founder Jason Bak.
Bak said this system will eliminate the need for car and/or homeowners to borrow money from friends or family to keep up with those monthly instalments. Once relevant details are filled in, convertCASH claims it will pay the instalment within one working day.
Sounds too good to be true? We too wondered how a company providing this service can generate revenue without imposing any interest on its users. But Bak claimed that the firm’s current focus is on building a user base for its platform and cultivating an ecosystem by which revenue can be generated in the future.
He also told us that the company will eventually introduce a fee for the pay-first transactions. But he did not specify when and how much.
We also touched on the regulatory side of things which was not mentioned on its website or marketing materials but Bak emphasised that convertCASH doesn’t provide loans – you don’t borrow money from the company and use it to pay your instalments. The company simply pays for your instalments first.
According to Bak, convertCASH allows a maximum transaction amount of US$5,000 (RM20,000). “To date, we have an average amount of US$123,786 (RM500,000) transacted via convertCASH platform,” he said.
Founded in November 2020 and headquartered in Singapore, convertCASH is now available in Malaysia, Indonesia, and Australia. It plans to expand to Hong Kong, Thailand, Vietnam, and the Philippines in the second quarter of this year and to Japan, Korea, and China in 2022.
The convertCASH app is currently available on iOS App Store, Google Play, and Huawei AppGallery. However, we do recommend you to visit their website first and make sure that you read as well as understand all of the service’s terms and conditions before making any decisions.