Providing financial flexibility in uncertain economic times, the collaboration between Splitit and DXC Technology paves the way for banks to offer installment payment options through debit cards. This partnership harnesses DXC’s Hogan core banking platform, presenting an opportunity for hundreds of millions of cardholders worldwide to manage their cash flow more effectively. As financial technology landscapes evolve, this integration aims to simplify consumer access to pay-over-time plans without the need for separate credit lines.
Previously, debit card users seeking buy now, pay later (BNPL) solutions often turned to third-party providers. This trend has increased competition among financial institutions to reclaim market share lost to external BNPL services. Through the current partnership, banks can offer their own installment-based payment models, potentially reversing the consumer shift towards standalone BNPL vendors. Splitit’s technology allows debit cards to provide transactional credit, an option often limited to specific credit card offerings.
How Do Banks Stand to Benefit?
Banks adopting this new integration can personalize installment plans and offers for account holders by using their existing core banking systems. Splitit CEO Nandan Sheth expressed that banks now have the capability to offer incentives directly through debit cards, bridging a gap for clients who prefer straightforward transactional credit. This approach targets consumers who are seeking credit alternatives without the burdens of revolving credit lines.
What Role Does Splitit Play in Consumer Banking?
Functioning as a technology provider, Splitit offers an adaptable model for banks. Larger institutions may use Splitit as a technology partner only, managing their own credit origination, while smaller banks and credit unions can rely on Splitit for additional lending services. Sheth emphasizes the flexibility, saying, “We can be a SaaS provider that enables all the bits and bytes back to the core, or we can do the underwriting and the extension of the loan back to the merchant.”
The partnership originally emerged from a recommendation by one of Splitit’s significant banking partners, which led to fruitful discussions with DXC Technology’s executive team. “Once we got in there, we spoke to the C-Suite,” Sheth stated. Banks using the Hogan platform can now use Splitit’s algorithms for tailored customer offers, enhancing the precision of marketing and promotional activities.
Splitit’s existing merchant network, enhanced by digital wallets like Samsung Wallet, further solidifies its integration. These platforms are essential for banks looking to reach expansive consumer bases. “We’re embedded in the Samsung Wallet,” Sheth noted, highlighting the strategic alignment of digital platforms for facilitating access to finance services.
Anticipated to roll out by the first quarter of 2026, the collaboration sets an ambitious goal of launching at least two pilot programs. Already, three banks are positioned as testing grounds for this innovative service. As global interest in debit card installments grows, particularly in Europe, the potential for widespread adoption is significant. Sheth commented on the global scope, saying, “We’re finding that debit card usage in the U.K. and Europe is getting stronger and stronger.”
The projected success of this collaboration relies on lower fees for consumers alongside new revenue streams for banks. Sheth remarked that, “The consumer will pay lower fees, the banks will earn new fee income on debit portfolios where growth has been anemic.” In an increasingly competitive financial ecosystem, such solutions might meet the needs of both underserved sectors and conventional banking customers.
