Installments
We will tell you how we process purchases with installments made with credit cards.
Purchases with Installments
This functionality allows processing transactions with installments, (monthly payments in 🇲🇽Mexico) so that your customers can finance their purchases.
Scope
With our credit cards, your customers can buy in installments in 🇧🇷Brazil, 🇲🇽Mexico, 🇦🇷Argentina and 🇨🇴Colombia.
In 🇧🇷Brazil, the installments are financed by the merchant, while in the rest of the countries, they are financed by the issuer.
Operation
Each time an authorization arrives with the installments node and the quantity field greater than 1, it is a purchase with installments. At that moment, you will have to deduct the total amount of the purchase from your customers' limit to ensure that you can collect that money in subsequent summaries.
When authorizing the transaction, you will have to follow these steps depending on the country where you are operating. Let's see!
Country-specific details
Implementation
When you receive an authorization with the installments node and the quantity field is greater than 1, it is an operation with installments. In this case, we will send you the following fields from the Authorization API:
| Field | Description |
|---|---|
| QUANTITY | Number of installments of the purchase. This is the most important field as it indicates how many charges you will have to make in the different card statements. |
| GRACE_PERIOD | Indicates if there is a grace period before starting to charge the installments in the card statement. |
| CREDIT_TYPE | This field indicates the type of credit used, whether it is with or without interest. |
If you approve the transaction, you must subtract the total amount of the purchase from your customer's credit limit and then, month by month, charge each installment in the card statement. To calculate the value of each installment, you must divide the local_amount by the quantity.
Then, when the compensation arrives, you can reconcile it one by one with the authorization.
If you operate in 🇧🇷Brazil , month by month you will receive the compensation for each installment and Pomelo will send you an adjustment with the current_installment field to inform you which installment you must charge in the user's card statement.
Every time a compensation arrives, you will see it in the settlement report, associated with the original purchase with installments.
Frequently Asked Questions:
What happens if there is a total or partial refund of a purchase with installments in 🇧🇷Brazil?
It will be generated as a refund.
If the refund is total, the remaining presentations will be made all together. If it is partial, the subsequent presentations will continue to be made month by month.
What happens if there is a total or partial refund of a purchase with installments in the rest of the countries?
For all countries excluding Brazil, since there is a single presentation for all installments, it is processed like any other refund. </Tab>