By Paul Dunning and Terah Rafiee, Galileo 

For decades, co-branded credit cards have defined the loyalty strategy for airlines, hotels, and lifestyle brands. But as consumer behaviors shift, credit standards tighten, and younger demographics show increased skepticism toward credit, there’s a new opportunity emerging: co-branded debit.

Galileo Financial Technologies is leading this industry evolution. By bringing together modern payments processing, digital banking layers, and program management, Galileo is enabling non-financial consumer brands to launch white-labeled debit programs that attract new customers, drive loyalty, and unlock revenue.

The co-branded debit opportunity

The traditional co-branded credit model has been widely successful. In fact, for some brands, those credit card programs generate more revenue than their core business lines. But there are growing cracks in that model:

• Stricter underwriting is resulting in higher credit declines.

• Gen Z and younger Millennials are increasingly credit-averse.

• Consumers want more flexible, digital-first options that don’t involve taking on debt.

Meanwhile, debit-based rewards programs traditionally have been hindered by interchange regulations. But with the right structure—Durbin-exempt banks, modern tech, and lean digital experiences—they can be a powerful tool for brands that are eager to:

• Capture younger customers before they enter the credit market

• Increase engagement among loyalty members who don’t qualify for credit cards

• Offer financial tools that match their brand ethos and drive lifetime value

Amid these shifting dynamics, brands began approaching Galileo with a common challenge: How to expand their financial offerings beyond credit, attract younger demographics, and keep customers inside their ecosystem longer?

Galileo’s answer: co-branded debit, powered by a full-stack, turnkey solution.

What makes Galileo’s co-branded debit offering different?

Galileo’s debit solution is more than a card. It’s a fully managed platform that covers every step of the journey:

• A white-labeled mobile and web application tailored to each brand, offering seamless rewards integration, account funding, and transaction visibility.

• Real-time payment processing, fraud prevention, bank sponsorship, risk and compliance management.

• Lifecycle management from onboarding and KYC to customer servicing and marketing.

This end-to-end approach means that brands don’t need in-house banking expertise. Galileo handles the heavy lifting while brands can focus on acquisition and engagement. Galileo offers a white-label solution that can be customized and launched in under 90 days. With our platform, brands can:

• Configure card fees and waiver thresholds

• Customize reward structures

• Integrate with existing loyalty systems

And they don’t need to go it alone. Galileo’s program management team oversees:

• Bank sponsorship and compliance

• Customer support and fraud oversight

• Lifecycle and performance marketing

The result: brands get a co-branded debit card program that feels native, delivers value, and opens new revenue streams.

Unlocking Loyalty Through Galileo's New Co-Branded Debit Rewards Program

The Wyndham case study

Galileo recently launched a co-branded debit program with Wyndham Hotels, partnering with Sunrise Banks as the issuing sponsor. The program:

• Offers seamless integration with Wyndham Rewards

• Enables fee waivers for cardholders with $2,500+ in deposits

• Provides instant digital issuance and wallet provisioning

Wyndham customers earn rewards automatically through their debit card spend. And thanks to Durbin-exempt interchange rates (which are significantly higher than large banks can offer), Wyndham can fund rewards in a sustainable way.

What’s next

While travel and hospitality brands were the first to move, other verticals are now exploring Galileo’s debit platform. Retailers, entertainment companies, and even consumer packaged goods brands are looking to launch programs that blend commerce and finance.

In a market where credit appetite is shrinking, debit is emerging as the next frontier of loyalty innovation—and Galileo is ready to lead the way.

Contact us to learn more about leveraging co-branded debit to grow loyalty, revenue, and digital engagement.