How to set up installment purchases from monobank and start accepting online payments

Offering instant installment payments through monobank can boost the number of orders on your online business. This is a strategic method to motivate customers and increase conversions. By giving customers the option to pay immediately, sales increase significantly.

Payment by installments from monobank allows different social and financial groups to purchase goods or services. It is important to remember that the effectiveness of this payment method may depend on your business segment, target audience, and other factors.

Here are a few reasons why instant payments can lead to increased sales:

• Monobank's installment plans give customers access to goods and services without paying the full amount immediately. This makes goods more affordable for more people.
• The ability to buy now and pay later encourages impulse purchases. Customers may be more inclined to purchase a product if they know that they do not have to spend a large amount at once.
• Instant payments encourage customers to add products or services to their orders. They know they won't have to pay for everything at once.
• Hire purchase from monobank helps to build a positive reputation for the brand as one that implements innovative approaches and cares about customer comfort.
• At the time of purchase, the customer pays a portion of the cost, and the seller automatically receives the full amount.

Only businesses operating on the terms of partnership with monobank can offer their customers interest-free installments. If a store is not a partner of the bank, its customers can only pay for installments with a monthly fee. That is why payment by installments has a great advantage in the form of no loan fees.

Businesses choose monobank's installment payment method to simplify the purchase process and make the payment process more convenient. With a smartphone, a customer can make a purchase instantly. The acquiring company (acquirer) processes and instantly transfers the payment from the buyer to the seller.

How payment by installments from monobank works:

1. The buyer selects the product they plan to buy by adding it to the cart. After that, he chooses a hire purchase payment method from monobank.
2. The customer makes a purchase using a bank card and indicates their phone number registered with the bank. This can be done through the online store's website or mobile application.
3. The customer confirms the payment in the monobank mobile application.
4. The payment transaction is sent to the acquirer, which interacts with the bank that issued the card (issuing bank).
5. The acquirer checks the availability of funds on the customer's card and sends a request for transaction confirmation to the issuing bank.
6. The bank confirms or rejects the transaction based on the funds' availability, the correctness of the entered data, and other security factors.
7. If the transaction is confirmed, the acquirer transmits confirmation information, and funds are transferred from the customer's bank to the merchant's bank.
8. Information about the transaction is sent to the client and the seller. The customer receives a payment confirmation, and the merchant receives a confirmation of receipt of funds.
9. The buyer receives the paid-for goods or services and makes monthly loan payments.

Online payments help to provide convenience for customers and increase sales. Here are the key steps and aspects to help you successfully implement online payments and take your business to the next level.

Here are some steps you can take:

• Contact your bank or online acquiring provider. Ask about the possibility of entering into a partnership or using their financial services for your business.
• Negotiate the terms. Discuss the terms of cooperation and determine whether it is possible to set up payment in installments for your online business. Specify commissions, terms, and other conditions.
• Integration. If the deal is concluded, start integrating with the bank's system or payment platform. 
• Notifications for customers. Notify your customers about the new payment option and the benefits of installment payments. Provide clear information about the terms and conditions of installments.
• Testing and launch. Before launching new functionality, test it thoroughly to make sure everything works properly.
  

Various payment providers and acquirers offer a payment method that allows customers to spread the cost over time. One of them is the Tranzzo payment platform.

Tranzzo has been operating in the online payment market since 2017 and offers companies tools and solutions for accepting online payments and developing and improving customer service.

To start accepting online payments via the Tranzzo payment platform, you need to take a few general steps: 

1. Register a business account through the Tranzzo payment platform.
2. Set up an interest-free installment plan from monobank via integration.
3. Consider adding different payment options — cards, e-wallets, bank transfers, etc.
4. Follow the security standards to protect personal data. 
5. Once connected, the new payment method appears on your payment page.

Setting up payment in installments is a step to improve customer loyalty and increase the average check. In a world of various payment methods, installments can make your business more competitive. Keep in mind that when using an installment payment model, it is important to honestly and accurately inform customers about the terms, fees, and other details of such payment.