Through a partnership with Citigroup Inc., began extending credit to its customers recently by offering what the online merchant calls a "cardless" private-label account.

Rene M. Pelegero, Amazon's director of global payments, said the new payment option was meant to "complement" the cobranded Visa card it offers through NextCard Inc. (The four-year-old monoline issuer in San Francisco announced that it had put itself up for sale after admitting severe fraud losses.)

Subscribe Now

Access to a full range of industry content, analysis and expert commentary.

30-Day Free Trial

No credit card required. Access coverage of the securitization marketplace, including breaking news updated throughout the day.