The fintech solution aims to provide an alternative to traditional credit options for individuals with limited or no access to credit, simplifying the purchase process for them

Payflex is a fintech solution launched by a South African eponymous startup providing users with access to financial services, particularly deferred payment options. Established in 2017 by Paul Behrmann and headquartered in Johannesburg, the startup has successfully secured $500,000 in funding since its inception to support its ongoing expansion.

The Payflex solution, available for iOS, Android, and Huawei devices, allows users to create an account –using their details– to unlock the various financial services offered by the fintech. Notably, the flagship product of Payflex is the deferred payment feature, allowing customers to make payments in four installments, with an initial 25% upfront and subsequent 25% installments every two weeks. Upon the payment of the first installment, users gain access to and can enjoy their purchased items. According to the fintech, this innovative payment structure acts as a marketing advantage, boosting sales in partner boutiques by 30%.

Payflex establishes spending limits for its users, with the possibility of increasing the limit for those who consistently demonstrate timely payments. The fintech does not impose additional interest charges on its services. Interest comes into play only when a payment due date is missed, coupled with an automatic adjustment to lower the spending limit, ensuring responsible financial practices.

Despite challenges associated with the limited development of credit services on the continent, primarily due to financial exclusion, Payflex's services are gaining popularity among the South African population. In November 2021, the fintech startup was acquired by an Australian firm, indicating a strategic move to expand operations on the African continent. This acquisition has kept the startup's progress, as evidenced by the Android version of the mobile app surpassing 100,000 downloads, according to Play Store data.

Adoni Conrad Quenum