Scotiabank will use Visa's new Visa Installments solution to meet Canadians' increasing demand for flexible payments
TORONTO, June 24, 2021 /CNW/ - Visa Canada today announced it is bringing greater payment flexibility to Canadians with the launch of Visa Installments – a new option to convert purchases already made into smaller, equal payments over a defined period of time.
Scotiabank is the first Canadian issuer to announce it will leverage Visa's Installments capability to offer its Visa credit card customers more choice in how they pay for purchases made on their credit cards, and ultimately more control over their budget. Eligible Canadian Scotiabank Visa credit cardholders will be among the first customers globally to enjoy the flexibility Visa Installments will provide, using their existing Scotiabank credit card accounts.
With the rollout, which is scheduled to begin in August 2021, any eligible Scotiabank Visa credit card customer who chooses to take advantage of the new payment installment option called Scotia SelectPay™1 can split qualifying purchases they have already made on their card.
Later this year, Visa is also planning to launch Visa Installments with Canadian issuers at participating merchants during the checkout process. This will provide those issuers' customers making a qualifying purchase with their credit cards the choice to pay in installments during their transaction.
Installments currently represents a significant segment of the payment system globally, accounting for over $1.7 trillion CAD of global payment volume.2 In Canada, adoption has increased 30 per cent in the last year alone and the in-country payment opportunity is expected to be about $50 billion annually.3 The increased traction around installments across Canada and around the globe is being driven by rising consumer demand for more flexibility in payment options, and strong merchant interest in finding new ways to compete in the market and bring shoppers more ways to pay.
"We've been watching this trend grow for years, and we've developed a solution that is tailor-made for Canadian consumers and merchants. We're excited to help Scotiabank make it happen," said Brian Weiner, VP and Head of Product and Digital, Visa Canada. "The consumer can receive an installment offering that works within the confines of their existing credit card. No new loans to track, no new forms to fill out. It gives customers the choice, flexibility and transparency that they want and need in the modern marketplace."
"We're proud to work with Visa to bring this innovative feature to our Visa credit card customers later this summer. Scotiabank SelectPay™ provides our credit card customers with more flexibility and convenience by enabling them to select eligible purchases and pay for those purchases over time," said Brett Mooney, Senior Vice-President, Credit Cards and Unsecured Lending at Scotiabank." It's a fast, easy, convenient way for our customers to manage their finances, and when using SelectPay™ our customers continue to benefit from all the other features on our award-winning cards including rewards and insurance benefits. We're excited to bring this valuable feature to our customers over the coming weeks."
Visa Installments: A solution built for scale
Visa Installments aims to provide an innovative, differentiated solution that will help the payments ecosystem meet the increasing demand for buy now, pay later alternatives.
- Consumer Benefits: Eligible cardholders will have expanded purchasing options, empowering them to decide how and when they may pay for items with the cards already in their wallets/digital wallets. Shoppers can leverage existing credit with their banks, without submitting new loan applications, credit checks, or downloading a new app.
- Merchant Benefits: Offering installments at checkout has been proven to increase the average purchase total and shopping cart conversion rate.4 With a single integration, merchants may enable installment offers for eligible cardholders from participating issuers, without customers needing to sign up for a new service.
- Issuer and Acquirer Benefits: With Visa Installments, issuers can offer their cardholders the added benefit of flexibility with the cards they already have. Acquirers will be able to offer new value-added services as part of their seller offering.
For more information on Visa Installments, visit: http://www.visa.ca/installments
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1 Terms and conditions apply. Only available on eligible Scotiabank credit cards. Not available to Quebec residents. Visit Scotiabank.com/selectpay to learn more. |
2 Euromonitor International January 2020 Installment Sizing Report for Visa Inc. |
3 Euromonitor Consulting Data Compilation for Visa Inc. ($CDN) |
4 Source: Euromonitor research, Interbank Cards Center of Turkey |
About Visa
Visa Inc. (NYSE: V) is a world leader in digital payments. Our mission is to connect the world through the most innovative, reliable and secure payment network - enabling individuals, businesses and economies to thrive. Our advanced global processing network, VisaNet, provides secure and reliable payments around the world, and is capable of handling more than 65,000 transaction messages a second. Our relentless focus on innovation is a catalyst for the rapid growth of digital commerce on any device for everyone, everywhere. As the world moves from analog to digital, Visa is applying our brand, products, people, network and scale to reshape the future of commerce. For more information, visit visa.ca, visa.com/blog and @VisaCA.
About Scotiabank
Scotiabank is a leading bank in the Americas. Guided by our purpose: "for every future", we help our customers, their families and their communities achieve success through a broad range of advice, products and services, including personal and commercial banking, wealth management and private banking, corporate and investment banking, and capital markets. With a team of approximately 90,000 employees and assets of approximately $1.1 trillion (as at April 30, 2021), Scotiabank trades on the Toronto Stock Exchange (TSX: BNS) and New York Stock Exchange (NYSE: BNS). For more information, please visit http://www.scotiabank.com and follow us on Twitter @ScotiabankViews. Trademark of The Bank of Nova Scotia.
SOURCE Visa Canada
Media Contact: Melissa Vekil, Visa Canada, [email protected]
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