Investor FAQs

Our mission is to deliver honest financial products that improve lives. We are building the first two-sided payment network of its kind to delight consumers and merchants. As a product and engineering-driven company, we leverage our technology to provide consumers with a flexible and transparent way to pay at their own pace while providing merchants with tools to drive growth.

Our superior technology, best-in-class risk management and capital markets expertise, and alignment with consumers has helped Affirm become the partner of choice in the industry. With Affirm’s strong unit economics, we believe that we are well-positioned to generate significant cash flow at scale.

We earn revenue through five primary channels.

1. Affirm generally earns revenue from merchants when we help them facilitate a transaction and/or direct a consumer to a merchant. These are commonly referred to as our merchant discount rate and affiliate network revenue.
2. We generate revenue through the simple interest-bearing transactions we facilitate on our platform.
3. Affirm earns interchange fees when consumers use Affirm's card products over established card networks.
4. We also sell a portion of the assets originated in our platform to third-party investors and recognize a gain or loss on the sale of these loans.
5. We make money by servicing loans on behalf of third-party investors that have purchased consumer loans from us.

Affirm has positioned itself as a partner of choice for paying over time through our technology, ability to address a wide range of transactions, proprietary underwriting, and alignment with consumers and merchants. 

• Superior technology: Affirm’s technology offers merchants superior scalability, reliability and ease of integration and can provide consumers with customizable payment options within seconds. 
   
• Ability to address a wider range of transactions: Affirm primarily offers loan products ranging from two weeks to five years, and we provide credit for purchases as low as $35 and up to $30,000. Additionally, we offer the ability to Pay Now for some transactions, particularly with our Affirm Card debit card product.  Our ability to address a wider range of transactions is a key reason why merchants and consumers choose Affirm.
   
• Product breadth fueled by sophisticated and durable funding model: Affirm maintains diverse funding sources with a wide range of capital partners and market-based programs, which provide flexible and consistent access to capital to fund the business. This enables Affirm to efficiently support consumers and merchants with its access to deep pools of committed capital through warehouse facilities, forward flow arrangements and multiple securitization programs. 
   
• Proprietary underwriting: Affirm underwrites every transaction. Our continuously learning models have been proven to deliver positive credit outcomes and outperform traditional credit models. 
   
• Commitment to transparency and putting people first: Affirm offers consumers a smarter way to pay over time while never charging consumers any late or hidden fees, ever. 

We define Revenue Less Transaction Costs as total revenue less transaction costs. We believe that revenue less transaction costs provides a useful financial metric to evaluate the value generated by transactions processed by Affirm and as a measurement of our strong unit economics.

Affirm has a diverse and durable funding model with four different channels that position us to efficiently support consumers and merchants:

• Affirm has committed access to warehouse facilities where it borrows against loans held on the balance sheet.
• We have forward-flow agreements that facilitate the sale of whole loans to counterparties. These allow Affirm to earn upfront revenue by generating a Gain on Sale, while eliminating the need for equity capital. Affirm typically retains the servicing rights to loans, and we collect Servicing Income on the loans that we service on behalf of investors that hold an economic interest in the loan.
• Affirm has two types of securitization programs, in which it bundles outstanding loans into structured credit offerings that receive on-balance sheet and off-balance sheet treatment. The Company’s revolving asset backed security program is held on-balance sheet. This provides stable, fixed-rate funding, and typically at a lower cost of capital and higher leverage ratio compared to warehouse lines. These vehicles fund short term receivables, with cash from consumer repayments being used to purchase new receivables. This enables Affirm to efficiently recycle capital and provide multiples of loan volume capacity versus the capital raised in the deal.
• Affirm’s static asset backed security programs are optimized for funding longer term offerings - 0% APR (“Z” shelf) and interest bearing (“X” shelf). These static asset backed security programs receive off-balance sheet treatment, which allows Affirm to recognize upfront revenue, similar to the forward-flow arrangements.

Our continuously learning underwriting models have been trained on billions of data points to assess a consumer’s repayment ability before making a real-time underwriting  decision. We underwrite every individual transaction and consider data beyond just traditional credit scores, including transaction history and credit usage, to assess a consumer’s willingness and ability to repay. 

Unlike legacy payment and credit systems, we assess and underwrite risk at transaction level vs. extending a single line of revolving credit. This enables Affirm to responsibly expand access to credit to a wide segment of consumers, including those whose traditional credit scores may not fully represent their creditworthiness as a borrower. 

Affirm does not treat delinquencies or defaults as an outcome of our business decisions. Instead, we choose acceptable delinquency rates as an input into our decision-making, based upon pricing with customers, macroeconomic conditions, and demand for our solutions. 
 

A loan is charged-off when the contractual principal becomes 120 days past due.

Provision for credit losses consists of amounts charged against income during the period to maintain an allowance for future potential credit losses. Our allowance for credit losses represents our estimate of the credit losses in the loans that are held for investment and are based on a variety of factors. This includes the composition and quality of the portfolio, loan specific information gathered through our collection efforts, current economic conditions, future reasonable and supportable forecasts, and our historical net charge-off and loss experience. These costs are incurred on a per-loan basis.

Shares of our Class A Common Stock trade on the Nasdaq Global Select Market under the trading symbol “AFRM”.

Affirm priced its initial public offering on January 12, 2021, and shares of its Class A Common Stock began trading on the Nasdaq Global Select Market on January 13, 2021. Affirm sold shares to the public at a price of $49 per share in its initial public offering.

Affirm does not issue paper stock certificates representing shares of its Class A Common Stock. All shares of Affirm Class A Common Stock are held in book entry form.

Computershare is Affirm’s transfer agent. You can reach Computershare by one of the ways below:

By phone:

+1 877-373-6374 (US, Canada, Puerto Rico)
+1 781-575-3100 (everywhere else)

By mail:
Computershare
PO Box 43006
Providence, RI 02940-3078

By overnight delivery:
Computershare
150 Royall Street, Suite 101
Canton, MA 02021

You can buy shares of our Class A Common Stock through any licensed broker. We do not currently have a direct stock purchase plan.

We do not currently pay dividends on our stock.

The Company reincorporated from the State of Delaware to the State of Nevada on July 1, 2025. Prior to the reincorporation, Affirm Holdings, Inc. was incorporated in Delaware on June 12, 2019. Prior to our incorporation, we operated under the name Affirm, Inc., our wholly owned subsidiary, which was incorporated in Delaware in 2012.

Deloitte & Touche LLP is our independent registered public accounting firm.

You can reach the Affirm Investor Relations team at ir@affirm.com.

Affirm’s fiscal year ends on June 30.