BIN Sponsorship

BIN sponsorship is a financial arrangement in which a non-financial institution is allowed to issue payment cards using a Bank Identification Number (BIN) owned by a licensed financial institution. This service enables businesses, typically those without the regulatory approvals to operate as banks or financial entities, to offer branded payment cards to their customers. By partnering with an established financial institution, these businesses can bypass the extensive regulatory and compliance processes required for issuing their own cards.

This type of sponsorship is particularly beneficial for companies looking to enhance customer loyalty and engagement through co-branded or private label credit, debit, or prepaid cards. The financial institution, or BIN sponsor, handles the regulatory, compliance, and some operational aspects, while the partner company can focus on branding and customer experience. BIN sponsorship is a strategic tool that allows non-banks to expand their financial service offerings and build stronger brand connections without the complexities and costs associated with obtaining direct financial licensure.