Splitit has boosted its merchant access in the crowded install payment market through a series of deals with large payment companies, the latest being a five-year agreement with Mastercard.
The partnership will use Mastercard’s Payment Gateway Services and API technology to enable a systemic, scalable way to offer Splitit’s installment solution through any channel. The partnership will also explore accelerated collaborations with Mastercard’s suite of installment solution providers. As part of the Mastercard deal the two companies will also jointly develop installment and related products.
Splitit uses consumers' existing credit, converting it into smaller installment payments, a different approach than rivals such as
“This is a fantastic way to broaden the distribution of our solution, leveraging Mastercard’s incredible global reach, and build out a range of installment services," Splitit CEO Brad Paterson said in a press release. "It’s a major plank in our strategy to grow through strategic partnerships to make Splitit a household name.”
The New York-based Splitit’s merchant sales have been experiencing strong growth with revenues up over 100% in 2019 compared with 2018. With the coronavirus pandemic pushing consumers to shop increasingly online,
Splitit has been incrementally building its merchant access through partnerships. It has partnered with
“This partnership with Splitit will help to drive higher transaction volumes for businesses and deliver budgeting solutions in the moment consumers are seeking them,” Zahir Khoja, executive vice president of global merchant solutions and partnerships at Mastercard, said in the release. “Our network and global reach, alongside Splitit’s solution, aligns with our commitment of providing choice, control, and simplicity to consumers and businesses.”
Either party can cancel the agreement with six months notice, and the partnership will automatically renew for one-year terms unless either party gives 90 days' notice.