01:45 PM EDT, 10/31/2025 (MT Newswires) -- Affirm (AFRM) struck an off-balance-sheet funding deal with mutual life insurance company New York Life, providing support for the buy-now, pay-later service provider's consumer lending operations.

New York Life will purchase Affirm's installment loans on a forward-flow basis through December 2026, with an outstanding amount of up to $750 million, the companies said in a joint statement.

The deal can support about $1.75 billion in annual consumer loan volume.

New York Life has already invested nearly $2 billion in Affirm's collateral, including through its asset-backed securitizations, according to the statement.

"Through our collaboration, we will be even better positioned to responsibly increase access to our flexible and transparent payment options," Affirm Chief Operating Officer Michael Linford said.

Forward-flow arrangements allow investors to own loans and interest payments so they could benefit from a potentially higher yield, according to a Finley Technologies blog published in 2021.

Affirm secured a similar funding deal with Liberty Mutual Group of Insurance Companies in January and with Sixth Street at the end of last year.

Shares of Affirm were up 1.9% intraday Friday.

"As we continue to deploy capital to create lasting value for our policy owners, Affirm has distinguished itself by delivering superior credit outcomes that generate attractive returns," New York Life Managing Director Brendan Feeney said. "We're excited to take this next step in our relationship, which exemplifies how we collaborate with industry leaders to invest in growing, high-quality assets."

Price: 70.09, Change: +1.18, Percent Change: +1.72