Mastercard has announced a new partnership with TSYS, a Global Payments company, that will enable consumers to split transactions into instalments before, during or after checkout.
The collaboration comes as the global pandemic is driving consumers to seek flexible payment options while issuers and merchants alike want to provide cardholders with choice, control and simplicity at checkout.
TSYS is the first processor to deliver instalment capabilities to issuers in order to provide seamless payments experiences to their cardholders, enhancing Mastercard’s buy-now-pay-later ecosystem.
Brian Riley, director of the credit practice at Mercator Advisory Group commented: “Adding the instalment lending function to a bank card is suitable for all parties in the transaction. The consumer has a discrete transaction, separate from their general purchasing. Merchants get to close the sale, and similar to credit card usage, have an opportunity to upsell the customer. The issuing bank benefits with increased spending.”
This new partnership complements Mastercard’s comprehensive suite of merchant offerings through API-based solutions, commercial partnerships, and acquisitions across the globe.
Gaylon Jowers, President, TSYS Issuer Solutions and Senior Executive Vice President of Global Payments, Inc added: “This new collaboration with Mastercard gives our issuing clients the ability to offer best-in-class installment payment experiences to their cardholders, while enabling consumers to choose when they want to pay.
“Our instalment solution addresses the growing consumer demand for payment optionality, further solidifying our position as a leading provider of technology solutions across the globe.”
Jess Turner, Executive Vice President, North America Product and Innovation for Mastercard also detailed: “Today’s consumer is looking for increased choice in how they manage their finances and spend while still demanding a seamless, secure checkout experience whether in store or online.
“Our work with TSYS, in conjunction with our wider point-of-sale financing ecosystem partners, helps improve the consumer checkout experience and enables issuers and merchants to benefit from increased consumer acquisition, loyalty and approval rates while decreasing cart abandonment.”
