Встроенные финансы
Embedded Finance
Embedded finance is a model in which banking and payment products (accounts, cards, loans, insurance) are plugged into a non-financial service via API.
What is Встроенные финансы (Embedded Finance)?
Embedded finance is an approach in which a non-financial company offers a financial service directly within its own product, while a licensed partner handles the regulated part: it maintains the account, issues the card, processes the payment, or provides the loan.
## How it works
A platform connects a provider via API or SDK. The provider (a bank, EMI, or payment institution) holds the license and customers' funds, while the platform owner is responsible for the user experience and distribution. The BaaS model is often used, in which banking functions are sold as a service.
## Where it is used
Marketplaces that pay suppliers immediately after an order is fulfilled, services offering installment payments at checkout, platforms that let contractors withdraw funds, SaaS services with corporate cards, and projects in high-risk verticals where payments are processed through payment gateways and acquiring.
## What it affects
Embedding lowers the entry barrier for businesses, but it shifts customer verification and transaction monitoring duties to the platform. For this reason, KYC, AML, and source-of-funds checks usually require coordinated processes between the product owner and the licensed partner. Liability for a failure or account freeze is allocated by contract, and that contract should be read carefully.
## Common mistakes
The main mistake is assuming that because a service is embedded, regulatory obligations rest only with the bank. The second is failing to verify who actually holds customers' funds and not understanding the terms for freezing those funds. The third is launching a product without a plan for changing partners or for the provider losing its license.
FAQ
How do embedded finance and standard acquiring differ?
Acquiring only accepts payments for goods or services. Embedded finance adds a full set of financial services to the product, including accounts, payouts, cards, and loans, all operating inside the service itself.
Who is responsible for customers' funds in an embedded model?
Typically the licensed partner holds the funds and is responsible for safeguarding them toward the customer. The division of responsibilities between the parties is set out in the contract, so it should be reviewed separately.
Is a separate license needed to embed financial services?
It depends on the jurisdiction and the specific service. In many cases a partnership with a licensed provider is sufficient, but rules differ by country, so the question is best checked with a lawyer.