High-value digital payments often fail due to anti-fraud thresholds, issuer velocity limits, insufficient available credit at the time of charge, mid-level limits, or temporary network issues on the acquirer or issuer side. These failures often lead to revenue loss for merchants, poor payment experience, and increased user drop-offs. To address these challenges, we have launched Intelligent Partial Payments (IPP), a new capability designed to improve success rates for your transactions.
What are Intelligent Partial Payments?
Intelligent Partial Payments allow a single high-value transaction to be split into smaller sub-payments. These sub-payments are processed sequentially or in controlled parallel batches. The number of splits and their individual amounts are dynamically determined using real-time risk and routing signals.
This approach increases the probability that a transaction is partially or fully completed, rather than failing entirely.
Traditional payment processing follows an all-or-nothing approach, where a single decline results in a failed transaction. Utilising our comprehensive smart routing engine, our new Intelligent Partial Payments feature helps mitigate this by:
- Increasing the likelihood of partial or full payment success
- Improving resilience to issuer declines due to per-transaction limits
- Broadening mid-routing, ensuring mid-limits are not exhausted by a single transaction
- Reducing user drop-offs due to “all-or-nothing” failures
- Raising approval rates (AR) due to lower-value authorisations hitting fewer fraud triggers
Where Intelligent Partial Payments add greater value:
Risk-engine guided payments for higher-risk users
IPP enables proportional risk handling instead of outright declines. For example, when a transaction has a trust score of 75%, part of the amount can be routed through a trusted MID.
Distribution of transactions across multiple MIDs
High-value transactions, especially first-time deposits, can block a single MID. By splitting the transaction, IPP allows the amount to be distributed across multiple MIDs in parallel.
Users with limited or partially exhausted card limits
Many users have available card limits lower than the transaction amount, resulting in declines. IPP enables partial captures, helping merchants increase GMV and allowing users to complete part of the payment instead of abandoning it.
Fraud threshold optimisation
Higher transaction amounts are more likely to be declined due to issuer or acquirer fraud thresholds. By processing multiple smaller transactions, IPP reduces the likelihood of fraud-related declines. The wider routing parameters will still be in place to mitigate risk and capture fraudulent behaviours.
If you want to find out more about our new intelligent partial payments feature, get in touch with the Paysecure team today.
