Katapult’s LTO Solution Expected to Financially Empower Underserved Nonprime Consumers and Expand Access to RedPocket Mobile’s Products
PLANO, Texas, Sept. 10, 2024 (GLOBE NEWSWIRE) -- Katapult Holdings, Inc. (NASDAQ: KPLT), an e-commerce-focused financial technology company, has entered a new exclusive agreement with RedPocket Mobile, a leading telecom provider that offers high quality, affordable, and reliable wireless service and mobile devices. Under the terms of the agreement, RedPocket Mobile has integrated Katapult's innovative lease-to-own (LTO) solution into its checkout flow, making Katapult a direct payment option. Katapult’s LTO option at checkout is expected to allow more nonprime consumers to access top-tier mobile devices with RedPocket Mobile.
"At RedPocket Mobile, we believe that staying connected shouldn’t be limited by financial constraints," said Joshua Berman, the COO of RedPocket Mobile, UNREAL Mobile and FreedomPop. "We understand that the cost of a new device can prevent many from purchasing the mobile phones and devices they want and need. By partnering with Katapult, we're creating a path to ownership for our customers, regardless of credit history. This LTO option, coupled with our affordable phone plans means our customers will have affordable and transparent financing options to meet their mobile connectivity needs."
By offering Katapult's LTO solution, RedPocket Mobile is expanding access to high-quality mobile devices, helping nonprime consumers stay connected in today's digital world. Katapult's LTO solution offers a flexible and transparent alternative to traditional financing, providing significant benefits to consumers, including:
Customers understand the full cost of the product ownership up-front. There are no surprise fees or compounding interest payments. In fact, there are no late fees, ever.
No long-term obligations for the customer – they can either make recurring payments toward owning the purchase outright or return it at any time.
Financial flexibility that can make an LTO purchase more economically attractive and accessible than traditional financing.
"We are pleased to integrate with RedPocket Mobile to make essential mobile devices more accessible to nonprime customers across the country," said Orlando Zayas, CEO of Katapult. "Mobile phones are vital tools that allow people to connect with loved ones, engage in work, pursue education and so much more. This new relationship will empower many individuals who are underserved by traditional financing to obtain the mobile technology they need to thrive in today’s digital age."
Hundreds of merchants are leveraging Katapult’s LTO solution to help expand their businesses. Key merchant benefits of a partnership with Katapult include:
Merchants have access to new shoppers who can drive incremental sales
Higher conversion rates and lower cart abandonment
Opportunities to drive repeat customer purchase rates higher
No merchant recourse from customer defaults
No interchange costs to the merchant related to the transaction
No risks from out-of-window returns
If you are a retailer interested in directly integrating Katapult’s LTO solution to boost your business and customer base, please contact sales@katapult.com. Consumers interested in unlocking financial purchasing power through personalized lease-to-own plans can download our app in the Apple App Store or Google Play. For more information on our LTO offering, consumers can also visit our website.
About Katapult Katapult is a technology driven lease-to-own platform that integrates with omnichannel retailers and e-commerce platforms to power the purchasing of everyday durable goods for underserved U.S. non-prime consumers. Through our point-of-sale (POS) integrations and innovative mobile app featuring Katapult Pay(R), consumers who may be unable to access traditional financing can shop a growing network of merchant partners. Our process is simple, fast, and transparent. We believe that seeing the good in people is good for business, humanizing the way underserved consumers get the things they need with payment solutions based on fairness and dignity.
Forward-Looking Statements
Certain statements included in this Press Release that are not historical facts are forward-looking statements for purposes of the safe harbor provisions under the United States Private Securities Litigation Reform Act of 1995. In some cases, forward-looking statements may be identified by words such as “anticipate,” “assume,” “believe,” “continue,” “could,” “design,” “estimate,” “expect,” “intend,” “may,” “plan,” “potentially,” “predict,” “should,” “will,” “would,” or the negative of these terms or other similar expressions. These forward-looking statements include, but are not limited to, statements regarding growth opportunities, expanding brand reach with retailers and consumers, enhancing merchant offerings and elevating the customer shopping experience. These statements are based on various assumptions, whether or not identified in this Press Release, and on the current expectations of Katapult’s management and are not predictions of actual performance.
These forward-looking statements are provided for illustrative purposes only and are not intended to serve as, a guarantee, an assurance, a prediction or a definitive statement of fact or probability. Actual events and circumstances are difficult or impossible to predict and will differ from assumptions. Many actual events and circumstances are beyond the control of Katapult. These forward-looking statements are subject to a number of risks and uncertainties that are discussed in greater detail in the section entitled “Risk Factors” in Katapult’s periodic reports filed with the Securities and Exchange Commission (“SEC”), and the Quarterly Report on Form 10-Q for the quarter ended June 30, 2024 that Katapult filed with the SEC. If any of these risks materialize or our assumptions prove incorrect, actual results could differ materially from the results implied by these forward-looking statements. There may be additional risks that Katapult does not presently know or that Katapult currently believes are immaterial that could also cause actual results to differ from those contained in the forward-looking statements. Undue reliance should not be placed on the forward-looking statements in this Press Release. All forward-looking statements contained herein are based on information available to Katapult as of the date hereof, and Katapult does not assume any obligation to update these statements as a result of new information or future events, except as required by law.
**Media Contact** Katapult Press Inquiries: Jennifer Kull ir@katapult.com
