CaixaBank offers BNPL services via Apple Pay

Spanish bank CaixaBank is committed to proposing a new payment service to offer added value for its users. It must allow the latter to use BNPL services (Buy Now Pay Later) directly integrated with Apple Pay.

FACTS

• CaixaBank has become the first financial institution in continental Europe to offer split payment services to users who settle their purchases with Apple Pay.
• CaixaBank customers with iOS 18 and iPadOS18 or later will now be able to access these services from their Apple smartphone.
• They will soon be able to pay for their purchases via their CaixaBank card attached to their Apple Pay service in full, or by choosing to spread their settlement over several months.
• The service will be used to settle purchases online or directly in stores.

CHALLENGES

• Responding to a change in usage: CaixaBank recently reported that it now has 4.4 million customers with cards linked to mobile devices. The trend is steadily increasing, while the bank has also recorded more than 800 million transactions in the last 12 months. In the first half of 2024, more than 30% of in-store purchases made in Spain with CaixaBank cards were even made using a smartphone.
• Alternative deployment: This new partnership between Apple and CaixaBank is the result of an earlier decision by Apple to close its own Apple Pay Later service. Now, the American giant deploys this type of offer to users of its devices through partnerships.

MARKET PERSPECTIVE

• By announcing the deployment of its new service, CaixaBank has established itself as Europe's first institutional financial player to offer this type of BNPL service via Apple Pay. But the bank has been ahead of other players on this issue.
• BNPL Klarna's giant recently announced its payment options via Apple Pay. Eligible Apple Pay users (who purchase via Apple Pay online or via iOS 18 and iPadOS 18 or later) in the United States and the United Kingdom have access to Klarna's flexible payment offers.
• Last September, Monzo New Bank signed a partnership with Apple on the BNPL in the UK.