subscribe to our newsletter

Westpac forms partnership with Afterpay

The partnership will provide Afterpay customers with access to Westpac’s transaction and savings accounts, and cash flow management tools.

Westpac Group has appointed “buy now, pay later” service Afterpay as the first partner on its new digital bank as a service (BaaS) platform.

The partnership has materialised after former Westpac CEO Brian Hartzer flagged the bank’s plans for a “digital future” in its 2019 full-year results, in which he said the bank will be investing in the digital-only banking platform that would complement its existing banking businesses.

“This will initially operate a ‘bank as a service’ model, and we intend to bring new digital products and services to market through fintech and institutional partners,” Mr Hartzer said.

“This will allow Westpac to reach a new group of customers as well as create value for our partners by enhancing the service offering to their own customers.”


Mr Hartzer further stated that as part of the initiative, Westpac expected to make a minority equity investment in UK-based cloud banking technology provider 10x Future Technologies Holdings Ltd.

Through the partnership, Afterpay will provide Westpac transaction and savings accounts and other cash flow management tools to its 3.3 million customers in Australia in the second quarter of 2021.

The major bank said the new BaaS platform uses cloud-native technology from 10x Future Technologies, and allows it to work with companies to offer banking services to customers.

Commenting on the partnership, Afterpay CEO Anthony Eisen said: “We believe Australians deserve greater support and insight to help manage their money.”

“Together with the power of our retail platform, the latest banking technology from 10x, and the support of Westpac, we will begin by offering cash flow management in a simple way.


“Afterpay is in a unique position to extend and deepen the relationship with our customers and help them to manage their money more seamlessly through savings and budgeting tools. For Afterpay, this is clearly just the beginning as we explore this opportunity globally.”

Westpac general manager, corporate and business development, Macgregor Duncan, said: “We have built the platform to allow us to collaborate closely with our partners, and we are excited to work with Afterpay to pioneer services relevant to, and reflective of, its customer base and unique business model.”

Westpac CEO Peter King said the digital banking platform will combine Westpac’s banking experience with the “innovation” of its partners to support customers.

“Fintech innovation is changing banking in important ways, and our new digital banking platform is part of our long-term strategy to support this trend and better respond to changing customer needs,” Mr King said.

“We look forward to working with Afterpay to deliver new products and services.”

[Related: Another big 4 launches no-interest credit card]

Westpac forms partnership with Afterpay
Westpac forms partnership with Afterpay

Are you a new-to-industry broker in the process of growing your business? Then there’s some great news: The Adviser’s New Broker Academy is back in 2021 and will provide you with essential insights into cutting-edge tools, strategies and processes to fast-track to success. Don’t miss your chance to attend. To secure your FREE place, visit newbroker.com.au now!

Malavika Santhebennur

Malavika Santhebennur is the features editor on the mortgages titles at Momentum Media.

Before joining the team in 2019, Malavika held roles with Money Management and Benchmark Media. She has been writing about financial services for the past six years.

Latest News

Reverse mortgage lenders have accessed a small fraction of the potential retiree housing market in Australia, according to Deloitte. ...

Pepper Money has priced its second I-Prime deal for the year, upsizing the figure to $850 million. ...

The LMI provider has announced a new CFO following the resignation of its current CFO, effective 24 September. ...

Join Australia's most informed brokers

Do you know which lenders are providing brokers and their customers with the best service?

Use this monthly data to make informed decisions about which lenders to use. Simply contribute to the survey and we'll send you the results directly to your inbox - completely free!

How long do you think it should take to discharge a mortgage?

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.