The millennial generation is like no other, especially when it comes to matters of the wallet. Sixty percent of millennials in the U.S. said that they are interested in point-of-sale financing for large online purchases. A recent study found U.S. cardholders think installments are helpful for budgeting (74%) and alleviating the stress of making large purchases (70%). The option to buy now and pay later can be the difference between ‘hopefully one day’ and ‘how about now.’
Visa is helping meet consumer demand for installment payments in two ways: by building our own installment capabilities, and by aligning with partners around the world to help enable their customers to use installments as a payment option.
Visa’s installment solutions in the US
In June, we introduced our beta installment solution APIs that will help our clients and partners give consumers more control on how a purchase is paid. Through a pilot program, participating issuers and merchants can offer their customers an installment payment experience at checkout using a Visa card they already have in their wallet.
With Visa’s installment solutions, Visa cardholders will have the option to divide their total purchase amount into smaller, equal payments over a defined time period on qualifying purchases, before, during or after checkout, at the store and online or while traveling abroad.
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