dLocal has strengthened its South African payments offering by integrating Capitec Pay, a move that brings real-time, open banking-based account-to-account payments to international merchants operating in the country’s digital commerce sector. This expansion enhances convenience for South African consumers while giving global merchants a trusted, high-conversion payment option in one of Africa’s most dynamic markets.
Capitec Pay, developed by Capitec Bank, allows users to make instant and secure payments directly from their bank accounts without relying on cards or third-party platforms. Every transaction is authenticated through the Capitec banking app, ensuring that consumers retain full control and avoid sharing sensitive financial details online. A standout feature of Capitec Pay is its Variable Recurring Payments (VRP), enabling safe authorization of ongoing payments — a major benefit for subscription-based and digital services.
For merchants, this integration drives value by reaching South African consumers who prefer direct bank payments, boosting conversion rates with instant settlement and a familiar, trusted authorization process. For consumers, the offering enhances trust, reduces friction in online checkouts, and simplifies recurring transactions in areas such as digital subscriptions and on-demand services. This step aligns with global trends where open banking is reshaping how consumers pay online.
Carlos Menendez, COO of dLocal, emphasized that open banking is transforming checkout experiences in South Africa by pairing security with seamless in-app transactions. With Capitec Pay live through dLocal’s platform, international merchants now have access to a powerful new payment method that expands choice alongside cards, Instant EFTs, and BNPL. Chris Zietsman, Executive Head of Capitec Business Payments, also highlighted the importance of secure, app-based authorization in making everyday payments simpler and safer for South African consumers.
By enabling Capitec Pay, dLocal is reinforcing its commitment to building a broad and versatile payments portfolio in South Africa. Customers now have more flexibility to transact with leading international merchants using their preferred method — whether through cards, EFTs, BNPL, or open banking transfers. This positions dLocal as one of the first global Payment Service Providers to integrate Capitec Pay for cross-border e-commerce, underlining its role as a leader in powering global-to-local commerce connections.
Capitec Pay is available to merchants through dLocal’s single API with no additional local entity required, simplifying integration and enabling swift adoption for international players. With this move, dLocal is not only driving payment innovation but also strengthening digital commerce infrastructure across South Africa, paving the way for a more seamless, secure, and inclusive online payment experience.
