Fix decline rates, refunds and merchant settlement in one place
A BNPL book has three payment problems at once: collecting instalments when a card on file declines, refunding customers at speed, and paying merchants their settlement. They usually sit in three systems. They should sit in one.
Three payment problems, one book
Instalment collection leans on a card on file, and cards on file decline. Expired cards, insufficient funds and blocks turn a scheduled instalment into a failed one, and involuntary churn follows.
Refunds move the other way and need to be fast and clean, because a slow refund is a customer-service problem and a dispute waiting to happen.
And merchant settlement is its own ledger: the money you owe the retailer, netted against refunds and fees, paid on time. Run these on three rails in three systems and reconciliation never closes.
The payment mix that fits
Not one rail. The two to four that match how money actually moves here.
Card-on-file for instalments where it fits, with the option to fall back to a bank rail on decline.
Collect instalments over a customer consent, sidestepping card-on-file declines for customers who opt in.
Take a first payment or a catch-up over a bank link, cleanly and without card fees.
Settle merchants from a segregated account, netted and referenced.
Your flow of funds, orchestrated
A customer takes a plan; instalments collect over a card on file, and where that declines, orchestration falls back to commercial VRP or a Pay by Bank link rather than simply failing. Refunds go out over Faster Payments. Merchant settlement runs from a settlement account, netted against refunds and fees and paid on schedule. Collections, refunds and merchant payouts reconcile on one ledger.
Every book moves money differently. We map your flow of funds and quote one integration across the rails that fit.
Related
Payments for BNPL and point-of-sale finance: FAQs
By falling back to a bank rail when a card declines: commercial VRP for customers who have given consent, or a Pay by Bank link, so a decline becomes a retry on another rail rather than a missed instalment.
Yes, from a segregated settlement account, netted against refunds and fees and reconciled on the same ledger as your customer collections.
Card-on-file supports instalments where a bank mandate is not set up, reconciled alongside your other rails.
Tell us how you get paid
Send us the mix of payments you take and make, and we will quote one integration across the rails that fit, priced on your volume.