Ebanx and Pagaleve blend Pix and BNPL to expand access to instalment plans in Brazil

This partnership between Ebanx and Pagaleve is a significant shift for retailers tapping into the Brazilian market. By combining Pix, Brazil’s instant payment system, with Buy Now, Pay Later (BNPL) functionality, the duo is solving a massive conversion hurdle. Traditionally, installment plans in Brazil required a credit card. This new solution allows customers to pay in four bi-weekly interest-free installments using Pix, which is used by nearly the entire adult population. For merchants, this means a wider customer base. You can now offer flexible payment terms to the millions of Brazilians who either don't have credit cards or have low credit limits. The system uses a 'first payment at checkout' model, which reduces risk compared to traditional open terms. Because Pix is instant, the reconciliation process for the retailer is faster and more reliable than older methods like Boleto. If you are a cross-border merchant or an operator with a presence in Latin America, this represents a major opportunity to capture the 'un-carded' demographic that still wants the flexibility of installments. It levels the playing field for high-ticket items that previously relied solely on traditional banking rails.

Source: Finextra — Lending

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