What Is BIN Sponsorship? A Guide to Visa and Mastercard BIN Sponsorship from Banks

In today’s fast-moving fintech landscape, launching a card product—be it a debit, credit, or prepaid card—has become increasingly accessible. However, behind the scenes of every Visa or Mastercard-branded card lies a key piece of infrastructure: the Bank Identification Number, or BIN.

For startups and non-bank financial institutions, accessing a BIN directly from Visa or Mastercard isn’t typically feasible. This is where BIN sponsorship from a bank comes into play.

In this blog, we’ll explore what BIN sponsorship is, how it works, and what to consider when partnering with a bank for Visa or Mastercard BIN sponsorship.

What Is a BIN?

A BIN (Bank Identification Number)—also referred to as an Issuer Identification Number (IIN)—is the first 6 to 8 digits of a payment card number. It identifies the issuing bank and determines how transactions are routed on networks like Visa and Mastercard.

Without a BIN, you can’t issue branded cards or participate in the global card payment ecosystem.

What Is BIN Sponsorship?

BIN sponsorship is when a licensed bank (typically a Visa or Mastercard principal member) “sponsors” a non-bank entity to use its BIN in order to issue cards. This allows fintechs and program managers to launch card products without becoming a bank or a direct card network member.

In short: the sponsor bank acts as the licensed issuer, while your company handles branding, customer relationships, and card program operations.

Why Use BIN Sponsorship Instead of Getting Your Own BIN?

There are several reasons most startups and even mature fintechs opt for BIN sponsorship:

✅ Regulatory Complexity

Becoming a licensed bank or a Visa/Mastercard principal member is expensive, time-consuming, and heavily regulated.

✅ Speed to Market

BIN sponsorship allows you to launch in months rather than years.

✅ Cost-Effective

Direct membership and BIN ownership require significant capital, insurance, and compliance infrastructure. BIN sponsorship lowers this barrier.

How Does BIN Sponsorship Work?
Here’s a simplified version of how BIN sponsorship typically works:

1. You partner with a sponsor bank that holds a BIN and is a licensed issuer with Visa or Mastercard.
2. You build your card program, working with vendors like Affinity Prepaid, processors, KYC providers, card manufacturers, etc.
3. The sponsor bank oversees compliance, transaction monitoring, and regulatory reporting, while you operate the customer-facing product.
4. You issue cards using the sponsor bank’s BIN, allowing them to be accepted on the Visa or Mastercard network.

What to Look for in a BIN Sponsor Bank
Choosing the right BIN sponsor is critical to your card program’s success.  Here are key criteria to evaluate:

Criteria
Why It Matters
Network Support (Visa or Mastercard)
Some banks specialize in one network, so make sure they match your target market.

Licensing Jurisdiction
Your geographic target (e.g., U.S., EU, UK) should align with the bank's license.

Compliance Expertise
A strong sponsor will guide you on AML, KYC, fraud monitoring, and other requirements.

Technology Partnerships
The best sponsors have relationships with modern processors and fintech-friendly vendors.

Speed & Transparency
Look for a bank with a clear onboarding process and SLAs for program launch.

BIN Sponsorship vs. Program Management
It’s important to differentiate between BIN sponsors and program managers.

• Sponsor Banks hold the regulatory license and own the BIN.
• Program Managers (like Affinity Prepaid) often act as intermediaries, managing your relationship with the sponsor bank and providing tech integration.

You can either work directly with a sponsor bank, or go through a program manager that bundles everything for you—and typically is a revenue-share agreement.

Top Banks That Offer BIN Sponsorship
While it varies by region, here are some well-known banks that offer BIN sponsorship:

• Evolve Bank & Trust (USA)
• Cross River Bank (USA)
• The Bancorp Bank (USA)
• Bankable (UK/EU)
• Transact Payments (Gibraltar/Malta)

Most of these banks focus on fintech partnerships and have experience working with startups.

Final Thoughts: Is BIN Sponsorship Right for You?
If you’re a fintech startup or non-bank entity looking to issue Visa or Mastercard cards without the burden of full licensing, BIN sponsorship is the fastest and most practical path to market.
However, it’s not a one-size-fits-all solution. You’ll still need to invest in compliance, user experience, fraud controls, and customer support. And choosing the right sponsor bank—or program manager—can make or break your launch.

• A BIN is required to issue Visa or Mastercard cards.
• BIN sponsorship allows you to use a bank’s BIN instead of getting your own.
• It saves time, money, and regulatory hassle.
• Choose a sponsor with strong compliance and fintech experience.
• Consider if you want to go direct or use a program manager as a middle layer.

Need help figuring out whether BIN sponsorship is the right fit for your fintech product?  We can help break it down further based on your market and product goals.
Just fill out this simple questionnaire: https://www.affinityprepaid.com/apply-today.html or call us directly at +1.310.945.5785 or email me at [email protected]