1. What is xPay Card Installments?
xPay Card Installments lets customers split a purchase into smaller monthly payments using their existing credit card. There’s no new loan, no credit application, and no separate BNPL account. The customer simply pays in easy monthly chunks on a card they already have.
2. Why should a merchants offer card installments over other BNPL like Klarna?
- Higher conversion — removes KYC friciton on big-ticket purchases.
- Higher AOV — customers are more comfortable upgrading when monthly cost feels manageable.
- Zero credit risk for the merchant — xPay confirms the customer’s card can cover the full amount upfront.
- No new lending relationship — customers keep their existing card benefits (rewards, fraud protection, purchase insurance).
3. How xPay Installments Works?
- Customer picks a plan (e.g., 6 or 12 months) at checkout.
- xPay confirms with the card issuer that there’s enough available credit for the full purchase amount.
- The first installment is charged immediately (or upon shipping, depending on merchant config).
- xPay automatically charges the card once a month until the plan is complete.
4. What is an authorization hold?
Term What It Is? Payment An actual monthly charge debited from the card. This is the installment amount. Authorization A temporary hold on the remaining balance, it’s a verification, not a charge. It ensures the plan can continue without interruption.
An authorization is not a real charge. It is released within 4–28 days
depending on the issuing bank. However, some banks label it as
“pending” in statements, which confuses customers and even bank
staff. If a customer or their bank flags this, explain that it’s a standard
temporary hold and will drop off automatically
5. Will the customer need enough credit for the full amount?
Yes, at setup only. The customer must have available credit equal to the full purchase price when first creating the plan. After that, they’re only charged the installment amount each month.
Credit & Card Support
1. Will using xPay Installments affect the customer’s credit score?
No. No credit check is performed.
2. Which credit cards are supported?
Depends on the merchant plan, but typically:Supported cards are clearly shown at checkout.
- ✅ Visa
- ✅ Mastercard
- ✅ American Express
- ✅ Discover
- ✅ UnionPay
3. Can customers pay with a debit card?
No. Only credit cards are accepted at this time.
Fees
1. Why is there a convenience fee on card installments?
The convenience fee (typically 6–9%) covers:How to position it: “It’s a small fee for the flexibility of paying over time and unlike a personal loan, there’s no interest, no credit check, and no new account.”
- Payment processing & card network costs across multiple transactions.
- Authorization management over the life of the plan.
- Risk coverage - xPay guarantees the merchant gets paid even if the customer defaults later.
Payment Failures & Retries
1. What happens if a customer’s installment payment fails?
- The customer receives a notification to update their card or ensure sufficient funds.
- If it continues to fail, the remaining balance may be captured from the authorization.
2. How many times can I ask the customer to retry?
2–3 attempts maximum. Beyond that, it creates a poor experience and increases failure. If the payment still fails after 3 attempts:
- Reach out to understand the issue (expired card, insufficient funds, bank block).
- Offer to update the card on file.
- If unresolved, escalate to xPay support.
Do not retry more than 3 times. Excessive retries can trigger fraud flags at the issuing bank and damage the merchant’s processing reputation.
Common Customer Quesiotns & How to Handle Them?
1. “I see a large pending charge on my card!”
Response: “That’s an authorization hold, not a charge. Your bank is confirming your card can support the plan. It will drop off within a few days. You’ll only be charged your monthly installment amount.”
2. “My bank says I was charged the full amount!”
Response: “Some banks display authorizations as pending charges but no money has left your account beyond the installment. If needed, we can provide a transaction breakdown you can share with your bank.”
3. “I don’t want a credit check.”
Response: “There is no credit check at all. xPay uses your existing credit card and no new applications, no hard pulls, no bureau reporting.”
4. “Why can’t I use my debit card?”
Response: “xPay works by placing a temporary authorization on a credit line, which debit cards don’t support. We’re limited to credit cards for now.”