06 October 2022

Marks & Spencer launches digital credit account for Sparks customers

06 October 2022

Customers using Marks and Spencer’s Sparks loyalty scheme will be able to apply for a new digital credit account, enabling them to borrow up to £500 for purchases.

Sparks Pay has been launched by the retailer, together with M&S Bank, and is initially rolling out as a phased launch across M&S.com and the M&S app.

Customers must be at least 18 and will need to pass credit checks.

Interest may also be charged at a representative annual rate of 23.9%.

Shoppers will get up to 76 days’ interest-free on their first order when they pay their balance in full, and up to 45 days for later transactions.

Once set up, customers can make purchases with “one-click” payments and can manage their account in the app or online, where they will be able to see recent transactions and statements.

Full credit and affordability checks are in place

M&S said it will use customer feedback and experience from the “online-first” launch, and will roll out the digital way to pay to its stores next year.

Since the Sparks loyalty scheme was relaunched as a “digital-first” loyalty programme in 2020, the number of customers in the scheme has more than doubled from seven million to just under 16 million.

The rise in online shopping means M&S.com now accounts for around a third (34%) of all clothing and home sales at the retailer.

Kirsty Ward, director of services at Marks & Spencer said: “We are excited to debut Sparks Pay, another new benefit for our Sparks customers.

“We are setting out to create better connected and smoother payment solutions across M&S.com, our app and stores nationwide.”

Paul Spencer, CEO of M&S Bank, said: “As a responsible lender, full credit and affordability checks are in place, enabling us to offer an instant credit account which can be used on multiple purchases, up to a maximum of £500, for those who love to shop online at M&S.”

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