How does work?

How Does Splitit Work?

Want the benefit of a buy now, pay later (BNPL) service but don’t want the hassle of applying for a separate credit program?

Splitit just might be the solution for you!

With Splitit, there are no separate applications, credit checks, and additional fees — just easy monthly payments with no interest fees.

But what exactly is Splitit and how is it different from other BNPL providers?

What is Splitit?

Splitit is a payment platform that allows you to buy items and pay for them in lighter monthly installments. How much you can buy is dependent on your credit card limit and how much of it you’ve used.

From fashion and sports to home and automotive, Splitit has partnered with a wide range of merchants for online and offline purchases.

It aims to provide a convenient and fair BNPL service for consumers who are financially responsible and diligent but don’t want the hassle of applying for a new loan.

Let’s see how Splitit works.

How Does Splitit Work?

How does one get started with Splitit? Using Splitit is a breeze and doesn’t require you to fill out lengthy forms or wait for approvals. All you have to do is select it as your payment option upon checkout. Of course, this means that you need to purchase from one of its merchant partners in order to avail of its features.

Upon choosing Splitit as your payment method, just enter your credit card details like a normal online purchase. In-store purchases work similarly. They just rely on a pay-by-link form that you need to fill out instead.

Choose the Number of Monthly Installments

Once your purchase is received, Splitit collects your details and provides the payment dates and the number of installments you need to pay.

Business partners choose a minimum and maximum limit for purchases made with Splitit. You’ll thus select your number of installments from the options provided by affiliated merchants. This can range anywhere between 2 to 36 months.

The first payment is your down payment and must be paid once the purchase is made or the order is shipped. It is typically deducted within 28 days that an order is placed.

No Need To Create a New Account/Card

You don’t need to create a new account or apply for a card when using Splitit. All you need is an existing credit card and the balance available on it.

No Credit Checks Required

Splitit doesn’t do a credit check. It just uses the balance on your credit card. This means that your credit card shouldn’t be maxed out and there should still be enough balance left to make your desired purchase.


Instead of accessing your credit score and giving you a spending limit, Splitit uses a pre-authorization system by placing a hold for the purchase amount on your credit card. This hold is placed when you use their services to make a purchase and is reduced as you pay off the monthly payments.

This system ensures that merchants get the amounts that are due to them while preventing the credit card holder from spending beyond a credit card’s allowable limit.

Credit Limit

While Splitit makes use of your credit card’s limit, some merchants might set a different limit to minimize their risk.

Zero Interest and No Late Fees

There are no late fees or interest charges in your monthly installments as long as you pay them on time. However, you may be penalized with fees by your credit card provider for missed and late payments.

You can pay off your purchases early too. Splitit does not charge any fees for early payments.

Debit Card

While this may change in the future, Splitit doesn’t allow you to use your debit card to make purchases.

Splitit FAQs

Will Using Splitit Affect My Credit Score?

No. Using Splitit will not affect your credit score. However, paying or not paying installments on time might affect your credit score.

Does Splitit Report Payment Activity to Credit Bureaus?

Since Splitit doesn’t provide a separate credit card, it doesn’t report your activity to credit bureaus.

Does Splitit Check Your Credit Scores?

No, Splitit doesn’t perform a credit check (neither hard or soft). Your application is only based on the available credit on your existing credit card.

Does Splitit Charge Any Additional Fees?

No, Splitit does not charge additional fees.

How Do Returns Work With Splitit?

Returns are at the sole discretion of its merchant partners. If the merchant accepts a returned product, they will notify Splitit who will then reimburse the consumer accordingly.

How Can I Increase My Credit Limit With Splitit?

Splitit uses the existing credit limit on your credit card. This means that the only way to increase your credit limit with Splitit is to increase the credit limit on your credit card.

How Does Splitit Make Money?

Splitit charges its merchant partners a fee for every transaction that uses its services.

What Credit Cards Can You Use With Splitit?

Splitit credit card partners include Visa, Mastercard, Discover, and Union Pay credit cards.

What Stores Can I Shop at Using Splitit?

Beauty, health, automotive, technology, home, sports, and outdoor products, there’s a wide variety of products that you can purchase with Splitit.

Here are some of the online and offline shops where you can use it:

  • James Allen
  • Purple
  • ZuGoPet
  • Canyon Bicycles
  • Leibish
  • Ace Marks
  • Mobvoi
  • Ergonofis

Splitit Pros and Cons


  • No credit checks
  • No hidden extra charges
  • No interest on timely payments
  • Doesn’t submit credit reports
  • Continue to earn rewards points on your credit card
  • No separate credit account or card


  • Can only be used with merchant partners
  • Can’t be used to pay off bills
  • Merchants may have their own limits on minimum and maximum purchase amounts
  • Imposes a hold on your credit limit for the purchase amount

Before You Go: Planning to Splitit?

Splitit is a useful option for consumers and merchants alike. With the opportunity to split payments into monthly installments, customers can enjoy lighter payments while merchants can encourage higher sales. Unlike other BNPL providers that charge extra fees, perform credit checks, and report payment activity, Splitit provides an accessible and easy-to-use service.

The best thing about the platform?

It utilizes your existing credit limit to offer you a better financing plan, making it one of the most innovative ways to shop.

Leave a Comment

Your email address will not be published. Required fields are marked *