TrueLayer acquires In3 to add credit to Pay by Bank

TrueLayer has acquired Dutch fintech In3, adding consumer credit to its Pay by Bank network.

The deal makes TrueLayer the only Pay by Bank network in Europe to offer both debit and credit at checkout, it said. Financial terms were not disclosed.

In3 specialises in consumer credit delivered through bank payments. It will continue to operate from the Netherlands while its technology and products are integrated into the wider TrueLayer platform.

Buy Now, Pay Later will be the first credit product launched through the combined business, with longer-duration credit products due to follow later this year.

The move expands a segment of digital payments that has largely focused on immediate account-to-account transfers rather than lending. By adding credit, the London-based fintech is seeking to give merchants and shoppers a direct alternative to checkout products that rely on card networks.

That matters in a European payments market still heavily reliant on US infrastructure. Card payment networks process 95% of UK card transactions and a similar majority across Europe, according to figures from the Payment Systems Regulator cited by the company.

Pay by Bank has grown quickly as open banking-based payments have become more widely used in eCommerce. TrueLayer said these payments now account for up to 17% of the value of European eCommerce transactions and pointed to adoption by major online marketplaces, including Amazon and eBay, as evidence that the payment method has entered the mainstream.

Checkout shift

Until now, online checkout has generally been split between immediate payment methods and credit products built on card rails. TrueLayer is trying to combine both within a single bank-based payment flow, allowing customers to pay immediately or spread payments over time in the same checkout journey.

The approach could appeal to merchants who want to avoid handing over the customer relationship to third-party credit providers at the point of sale. Direct bank payments can also offer clearer pricing and faster settlement than some card-based products, the company said.

For shoppers, the first product will be a deferred payment option positioned as an alternative to conventional Buy Now, Pay Later products. TrueLayer said it would not include hidden or unfair fees.

Francesco Simoneschi, Chief Executive Officer and Co-Founder of TrueLayer, outlined the strategy behind the acquisition.

"Pay by Bank has been successfully challenging card dominance at checkout for years. Today we are doing for credit what we have already achieved for debit. For the first time, consumers can choose to pay instantly or over time, directly from their bank account, through the same Pay by Bank experience they already know. With the addition of In3's team and their deep expertise in consumer credit, we now have the people, the network and the products to build a truly independent European payments alternative to the card networks," said Francesco Simoneschi, Chief Executive Officer and Co-Founder of TrueLayer.

TrueLayer said its network reaches more than 25 million consumers across 22 countries and processes more than USD $150 billion in annualised payment volume. It described this as the largest Pay by Bank network of its kind in Europe.

In3's management presented the deal as a route to broader distribution across the region. The Dutch company has focused on instalment-style consumer finance linked to bank payments rather than card lending.

"We built In3 because consumers deserved a credit option that was genuinely fair, simple and transparent. TrueLayer's network gives us the infrastructure to bring that to millions more people across Europe. Together, we are giving merchants and consumers instant payments and flexible credit in a single checkout experience," said Hans Langenhuizen, Chief Executive Officer of In3.

Market pressure

The acquisition comes as scrutiny grows over concentration in payments infrastructure and the cost of card acceptance for merchants. It also comes as the UK prepares for the first wave of Financial Conduct Authority regulation covering the deferred-payment credit sector.

Industry data cited by the company shows merchants can increase order values and conversion rates by offering flexible credit at checkout. At the same time, card-based systems bring costs tied to fees, settlement delays and chargebacks, with disputed transactions remaining a significant burden for sellers.

For TrueLayer, the In3 purchase is the latest step in a wider expansion drive. It follows the company's acquisition of Swedish paytech Zimpler in late 2025 and adds to a broader period of consolidation among UK fintech groups seeking scale in European payments.

In3 will remain based in the Netherlands as integration begins across its technology and product set. Financial terms of the acquisition were not disclosed.