Indonesia-based financial technology (fintech) company Xendit announced it was teaming up with FDFC, the company behind BillEase, to launch cardless installment payment options.
Merchants using Xendit can now integrate BillEase to their payment options, which would allow their customers to split the cost of purchases into installments, either monthly or bi-weekly.
This comes in 3 forms. Pay Later lets customers try the product and pay on their next pay day with no interest. Pay in Installments enable customers to enjoy fully-financed purchase and spread payments over time at a zero-to-low interest rate. Meanwhile, Pay with Down Payment allows customers to pay 1/3 upfront and pay the rest in installments.
According to Xendit, merchants offering BillEase can let their customers pay for purchases online on monthly installments, paying the app over a period of 3, 6, 9, or 12 months with monthly interest rates between 0% to 3.49%.
Merchants can also choose to offer 0% annual percentage rate (APR). As an example, a P18,000 purchase would only cost P2,500 over 6 months with a 0% APR set up.
In a statement, FDFC Co-founder and CEO Georg Steigersaid, "Shoppers are increasingly looking for alternative ways to pay, and merchants who offer flexible payment options can rapidly improve their conversion rates and increase average order value."
"We're excited to partner with Xendit to help Filipino merchants grow more by removing unnecessary challenges customers face at checkout, especially for those who are unable to use credit and debit cards,” he added.
Xendit Philippines Managing Director Yang Yang Zhang was excited for the partnership, saying, "Partnering with BillEase is crucial as the demand for installment solutions has grown in recent years, partly fueled by the pandemic. Additionally, merchants also see a huge demand from their consumers for this type of payment option." – Rappler.com