Visa releases payment instalment APIs
Written by Peter Walker
Visa has introduced a suite of payment instalment solution Application Programming Interfaces (APIs).
Through a pilot program, participating issuers and merchants will be able to offer customers an instalment payment experience at checkout using a Visa card they already have in their wallet.
Cardholders will have the option to divide their total purchase amount into smaller, equal payments over a defined time period on qualifying purchases, at the store and online, or while traveling abroad.
Visa is partnering with clients around the world to pilot a variety of instalment use cases. In the US, TSYS will be the first processing partner to offer Visa’s new instalments capabilities to its participating issuers as an enhancement to its existing instalment program. CyberSource will be the first payment management platform to support Visa’s instalments capabilities for its participating merchant clients and acquirer partners.
Globally, instalments represented $1.2 trillion in payment volume in 2017 and have been growing 15 per cent year-over-year - twice as fast as credit cards - according to Euromonitor International data.
Scheduled to be available to clients and partners in January 2020, Visa’s instalment solutions will be one of the first new payment innovations available through Visa Next – the new destination for accessing Visa’s product pipeline.
Sam Shrauger, the payment giant’s senior vice president, global head of issuer and consumer solutions, commented: “Visa’s instalment capabilities are changing the game by allowing issuers to leverage an existing payment account consumers already have and are familiar with, instead of asking them to submit to a credit check, download an app or open another line of credit.
“We expect instalments to become a foundational method of payment at checkout for both domestic and cross-border commerce payment transactions.”