If you often run out of credit and want to make purchases online, here is some good news. Amazon, the e-commerce giant, has come up with the all new credit card program ‘Amazon Credit Builder’. It has launched the program with Synchrony Financial, a publicly traded bank to reach out to shoppers with little or bad credit.

In an interview with CNBC, Tom Quindlen, the bank’s executive vice-president and CEO described the collaboration as a new segment of the market. “There’s always going to be people that we can’t give credit to - this is a large population that we aren’t able to reach.”

Quindlen said its putting credit in the hands of people in a responsible way. He explained that the credit on the card will work similar to other popular security cards. “In order to receive a credit limit, customers will need to put down that exact amount, anywhere between $100 to $1,000 as a deposit. The credit builder will then offer customers higher levels of credit cards, depending on their credit standing earned from using the Amazon card.”

Reports say the Credit Builder program includes a card with 5 per cent cashback on purchases. It also offers tips on how to build credit, such as why someone should pay a minimum. Customers who don’t get approved of a typical Amazon credit card, will be prompted to apply to Amazon Credit Builder instead. And for this, Synchrony is issuing secured credit cards, whereby people can just deposit $200 and have a $200 credit limit.

Quindlen said the program prompts users to learn more about building credit. “Borrowers can eventually graduate to an unsecured Amazon credit card once they have demonstrated they can pay back the loans," he said. 

In regards to risks, Quindlen said they are tackling this by issuing secured credit cards whereby people can deposit $500 and have a $500 credit limit.

Customers who fail to qualify with other Amazon cards will be prompted towards the Credit Builder program.