Deutsche Bank has announced a partnership with FinTech startup Credi2 to launch a white label buy now, pay later (BNPL) for eCommerce marketplaces in Germany.
The pilot, meant to start this year, will allow online merchants to integrate the installment billing tool into payment processes. The two companies want to create a consumer-friendly alternative to existing BNPL offers. The platform can be easily included n the payment process of online merchants. This offers the avenue for partial payments of transactions.
Creating An Alternative To Existing BNPL Alternative
Head of Merchant Solutions at Deutsche Bank, Kilian Thalhammer, commented on the development. “Together with Credi2, we want to create a real and consumer-friendly alternative to existing BNPL offers,” he stated.
He added that this white-label approach is different from most BNPL services. In this new approach, retailers will retain complete control over transactions with both existing and new customers.
The BNPL solution will have a merchant portal to track partial payments and returns. Additionally, Deutsche Bank will assess fraud risks in real time.
The merchants usually receive payments for goods they sold as soon as they complete their transactions with the consumers and shipping confirmation is received.
Chief Executive Officer of Credi2, Christian Waldheim, commented on the development. He stated that through the company’s white-label banking solution, merchants, banks, and marketplaces can provide a flexible payment solution within their brand. It will increase sales as it ensures customer loyalty.
Credi2 Partners With Global Brands
Credi2 has its headquarters in Vienna, Austria. The company provides a white-label plug-and-play SaaS platform for merchants and banks that want to integrate existing digital technologies.
The company has collaborated with several other major companies including Volkswagen Bank, Apple, and Raiffeisen Bank International, as well as other global firms.
The BNPL space is seeing more interest, although it has been facing some challenges in recent months. It is getting more criticism from lawmakers due to record-high inflation levels. It also has participation from consumers. But one of the fastest-growing demographics of BNPL users is the older, more financially secure customers, which could assist the struggling sector in gaining more popularity.