The Wall Street Journal

Prudential Unit Lends $500 Million in Private Credit to Affirm

Insurance and fintech companies are teaming up to ensure a steady flow of large deals

Prudential Financial’s PGIM Fixed Income is buying more loans from consumer lender Affirm Holdings.
Prudential Financial’s PGIM Fixed Income is buying more loans from consumer lender Affirm Holdings. Photo: Angus Mordant/Bloomberg News

An investment arm of insurer Prudential Financial will buy up to $500 million of consumer loans from technology-backed consumer lender Affirm Holdings for a period of three years. 

Most of the loans come due in six months and Affirm will be able to re-lend the investment throughout the life of the deal, allowing it to finance $3 billion of buy-now-pay-later loans.

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