Instalment payments platform Splitit has announced the Splitit World Mastercard, a white-label credit card for mid-sized banks and credit unions. Everyday purchases are paid in full within 30 days, while purchases above a threshold chosen by the cardholder are automatically split into predictable monthly payments. Users can change the plan in the app before the statement is issued. Splitit supplies the instalment technology and app, while the bank keeps the customer relationship and its brand.
What it means: The product shows how buy-now-pay-later providers are trying to work inside banks instead of competing with them at the merchant checkout. For mid-sized banks, a white-label solution lets them offer something comparable to Klarna without building it from scratch. In Greece, interest-free card instalments are already common but are usually set by the merchant at the point of sale. A model where the cardholder decides in advance above which amount they want instalments changes that relationship and could appeal to cooperative and smaller banks trying to retain customers. There is a regulatory side too. The EU's revised Consumer Credit Directive, which member states must apply over the next few years, brings BNPL products under stricter disclosure and creditworthiness rules. Anyone designing similar products in Greece should build those requirements in from day one. For merchants, wider use of such cards means instalments may no longer need a special acquirer agreement.
Read the original on Splitit (PR Newswire)
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