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January 7, 2021updated 08 Jan 2021 10:32am

Virgin Money to shut online service for credit card customers by month-end

British lender Virgin Money has notified its credit card customers that it will turn off its online service from 31 January 2021.

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The challenger bank said that this change will apply only to its credit card holders. The company has instead urged its customers to shift to the Virgin Money Credit Card app.

Virgin Money said that the demand for its online services has reduced, hence, it is focusing on developing its app instead.

The cardholders can manage their accounts via contact centre and live chat, which does not require them to download the app.

In a statement, Virgin Money said: “Since the launch of our credit card app almost two years ago, we have seen a significant increase in the number of customers choosing to use it to stay in control of their spending and borrowing.

“Customer interest in our online services has continually reduced, and now only a small percentage of our customer base chooses to use only our online services to manage their accounts, and we are turning off online service in January 2021 to reflect this customer preference so we can focus our development resource on continuing to enhance the app.”

App features

Customers can download the app on an Android or Apple device and login using a passcode, fingerprint, or face recognition.

They can manage their Virgin Money or Virgin Atlantic Credit Card using the app.

However, according to the company website, customers that own multiple cards can “only manage one card” in the app.

Virgin Money has recommended its customers to register their main card on the app and continue managing the other card using the Online Service until the month-end.

On its website, Virgin Money said: “We are working on a new feature to allow you to have more than one card in the app, and we will be in touch when this is ready to go.”

The app allows cardholders to make both regular and one-off payments to their balance and manage ‘direct debits’, balances and transfers.

It also allows the users to check their balance and transactions, view statements, and freeze and unfreeze their card.

Free Report
img

What does the future hold for BNPL market?

The global Buy Now Pay Later (BNPL) market is estimated at a massive $120 million in 2021 – representing just less than 3% of the global ecommerce market. Yet the user-base is massive, with leading provider, Klarna, alone reportedly having 87 million users in 2021. This market is only expected to grow, with established companies like Apple and Goldman Sachs moving into the BNPL sector in bids to capitalize on this trend. To help you make the most of this growing market, GlobalData’s Buy Now Pay Later in 2022 and Beyond report provides detailed insight into the BNPL sector. This report:
  • Discusses the disruptive potential of the BNPL sector on the payments industry
  • Identifies the leading companies that are driving sector growth and the benefits this new payments solution provides to both merchants and consumers
  • Analyzes the consumer’s risk of using BNPL loans and government attempts at introducing regulations to the sector
  • Uncovers the main risks that consumers expose themselves to when borrowing with BNPL
Download this free report to get to know where this developing market is headed, and how you can reshape your strategies.
by GlobalData
Enter your details here to receive your free Report.

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