Stitch adds Capitec Pay’s VRP solution to its payment methods

Stitch recently added Capitec’s latest solution, Variable Recurring Payments (VRP) to our roster of payment methods as the first PSP to bring the method to market – here’s what that means for enterprise businesses.

Stitch, South African payments infrastructure company, has expanded its payment offering by becoming the first PSP to bring Capitec Pay’s new Variable Recurring Payments (VRP) solution to market in South Africa. 

Through this partnership with Capitec Bank, consumers can now use their Capitec accounts to pay for subscription-based or recurring services, from streaming platforms and mobile data plans to on-demand delivery and retail memberships , while authorising future transactions directly within the Capitec app. This marks the country’s first VRP capability, giving Capitec customers a secure and card-free way to manage recurring payments, and giving merchants a powerful alternative to traditional credit card billing.

With Capitec Pay VRP, users activate the payment method at checkout, verify their mobile number and approve an initial setup request that includes a maximum charge allowed per transaction. Once approved, subsequent payments run automatically unless a purchase exceeds the pre-set limit, offering both convenience and control. Customers may pause or cancel the arrangement at any time, and the final amount charged can vary within the authorised threshold — a structure that adapts seamlessly to use cases such as food and grocery delivery, logistics services, subscription commerce, streaming platforms and mobile phone contracts.

For enterprise businesses, the launch introduces a more efficient and reliable framework for managing recurring payments. VRP enables faster and more consistent collections, reduces friction in the user experience and increases payment success rates for Capitec’s more than 25 million active customers. Merchants benefit from streamlined operations and fewer failed transactions, especially in scenarios involving dynamic pricing or variable charges.

Chris Zietsman, Executive Head of Capitec Business Payments, highlighted that the addition of VRP across the Capitec Pay partner network enhances customer control and transparency over ongoing financial commitments while expanding the everyday use cases of Capitec Pay in a cost-efficient way for merchants. Stitch President and Co-founder Junaid Dadan added that the solution represents a major step forward for the South African market, offering a more flexible, secure and automated method for handling recurring payments and helping enterprise clients deliver smoother, more reliable payment experiences.

Stitch has collaborated closely with Capitec since the launch of Capitec Pay in 2023 and continues to support the rapid expansion of one of the country’s most widely adopted digital payment methods.