UPS Tackles Hidden Tariffs

Merchants are increasingly embracing cryptocurrency payments, with luxury brands leading the charge, while PayPal's small business lending surpasses $30 billion and Splitit enhances Shopify with seamless installment options.

Welcome to Today in Payments, I’m your host, Patti Murphy, here with your daily dose of payments notes.

More Merchants Accepting Crypto

Interest among merchants in accepting cryptocurrencies continues to grow, particularly among high-end retailers. The latest development comes from ECD Auto Design, a company specializing in luxury vehicle restorations. The Kissimmee, Florida-based business has announced that it is now accepting cryptocurrency payments through BitPay.

By integrating BitPay’s services, ECD Auto Design will benefit from reduced transaction fees, enhanced security, and global accessibility. Through BitPay, the company receives next-business-day settlement in U.S. dollars, eliminating concerns about crypto volatility and ensuring a smooth transaction process for both the company and its clients.

Expect more announcements like this, as the Trump administration has thrown its weight behind cryptocurrencies, repealing anti-crypto regulations enacted by the Biden administration.

In a related development, World Liberty Financial, the crypto company partially owned by President Trump and his sons, has announced a new stablecoin, USD1. No official launch date has been set. This marks the fourth digital currency created by World Liberty Financial, which has already attracted 85,000 participants and $550 million in token sales.

PayPal Surpasses $30 Billion in Small Business Loans

PayPal Holdings has announced that it has surpassed $30 billion in global loan originations. Since 2013, the payments company has extended more than 1.4 million loans and cash advances to over 420,000 business accounts globally, according to a company press release.

Small businesses contribute more than 43% of U.S. GDP and nearly 40% of private-sector payrolls, yet access to capital remains a significant challenge. PayPal addresses this issue through financing solutions such as PayPal Business Loans in the U.S. and PayPal Working Capital in Europe and Australia.

PayPal Business Loans, launched in 2017, provide term loans with fixed repayments and are available to businesses that do not necessarily process payments through PayPal. PayPal Working Capital, introduced in 2013, is a merchant cash advance product exclusively for businesses that process transactions via PayPal.

Splitit Unveils Shopify App

Splitit, a provider of credit card-linked installment payments, has launched an embedded Shopify app called Splitit Card Installments. The app offers merchants an all-in-one service, including credit card processing, while delivering a seamless, one-click installment payment experience for consumers—without the need for redirects or additional applications.

The app is fully integrated into Shopify’s checkout process. Shoppers can choose to pay in full or with installments directly within the credit card section.

As a white-label solution, the app allows merchants to maintain full control over their brand identity and customer relationships. The app is available globally, enabling merchants to offer localized payment options to a diverse international customer base, potentially unlocking new markets and revenue streams.

UPS Helps International Shoppers Avoid Surprise Tariffs

UPS has unveiled a new tool designed to help online shoppers avoid unexpected tariff costs. The service, called UPS Global Checkout, arrives amid growing concerns over tariffs as trade tensions escalate between the U.S. and other countries.

UPS claims it is the only global integrated carrier offering a guaranteed landed cost solution for international shipping, seamlessly incorporated into its shipping technology. With near real-time updates, the service adjusts to policy changes, international tax laws, duties, and tariffs, helping consumers avoid surprise fees at checkout.

Customs duties, taxes, and fees remain a significant concern for international shoppers. Every day, tens of thousands of residential deliveries worldwide arrive with duties and taxes payable upon delivery. A survey of U.S. and U.K. shoppers found that 41% were deterred from buying from international e-commerce sites when the total duties and taxes were not transparently displayed at checkout.

That’s all for Today in Payments. Keep coming back every weekday for your daily dose of payments news.