In Colombia’s vibrant financial sector, issuers are racing to deliver innovative payment solutions to meet the growing demands of consumers. However, breaking into new markets and scaling quickly often comes with significant challenges, from navigating complex regulations to establishing local infrastructure.
At Paymentology, we leverage the power of BIN sponsorships to overcome these barriers and empower Colombian issuers to launch and grow with speed and efficiency.
But why is partnering with a card service provider such a cornerstone of our strategy? Let’s explore the key advantages that make this approach so effective.
Expanding market reach rapidly
What’s the fastest way for issuers to grow their presence in a market like Colombia? The answer lies in leveraging the robust networks of BIN sponsors.
Due to the pre-existing relationships, established infrastructure and in-depth local knowledge, Paymentology enables issuers to scale their operations without the need for massive upfront investments.
This approach is particularly impactful in Colombia, where card usage is rapidly growing. According to Global Data, in 2024, payment card transactions were projected to reach COP 216.4 trillion ($50 billion), fuelled by infrastructure investments and increasing consumer adoption. Debit cards alone account for 69.7% of transaction volume, underscoring the opportunity for issuers to tap into a growing customer base using our BIN sponsor programme.
Navigating Colombia’s local expertise
How do issuers ensure their payment solutions feel relevant and relatable in a diverse country like Colombia? By delivering invaluable local insights.
With 63.4% of Colombia’s adult population having access to banking services in 2024, the financial ecosystem is becoming more inclusive. However, challenges like cultural preferences for cash, which still dominates 63.4% of transaction volume, mean issuers need locally tailored solutions to encourage digital adoption.
By working with BIN sponsors who understand Colombian market trends and consumer behaviours, Paymentology empowers issuers to design products that align with local preferences, whether catering to specific spending habits or addressing regional payment challenges. This localisation ensures that issuers can offer more personalised and meaningful solutions to their customers.
Cost efficiency without quality compromise
It’s no secret that setting up a direct market presence is expensive, therefore managing costs while maintaining the quality can be a challenge.
“In Colombia, where navigating regulatory complexities and establishing a local presence can be daunting, our partner programme offers a cost-effective solution that balances efficiency with quality. By leveraging established networks and local expertise, we help issuers address these challenges head-on while focusing on delivering personalised payment solutions. This approach, which we’ve successfully deployed across Latin America, ensures issuers can scale effectively without compromising operational excellence” - Alejandro Del Rio, Regional Director for Latin America
Our BIN sponsorship programme eliminates the need for issuers to invest in costly infrastructure, hire large teams or navigate compliance challenges independently.
Faster time to market for competitive edge
In 2022, Colombians made credit card transactions totalling COP 73 trillion, marking a 16% increase from the previous year. Additionally, the digital payments market is projected to grow by 5.59% annually between 2025 and 2028, reaching a market volume of $25.63 billion by 2028
By leveraging such partnerships, companies can expedite their time to market and streamline the entire process, handling everything from regulatory requirements to logistics. This agility allows issuers to stay ahead of the competition, delivering solutions when their customers need them most.
Scalability for long-term growth
Whether it’s issuing more cards, expanding to new regions, or adapting to shifting market demands, our partners ensure that growth is smooth and efficient. Issuers can confidently plan for the future, knowing they have the infrastructure and support to back them up.
This collaboration doesn’t just benefit individual issuers, it’s driving systemic change in the Latin American financial ecosystem. By enabling rapid expansion, reducing costs and delivering localised solutions, these partnerships are helping to foster financial inclusion and innovation.
For consumers, this means greater access to payment solutions that allow them to participate in the global economy. For issuers, it’s about staying relevant in a market that values both speed and innovation. And for the broader economy, it’s about creating opportunities for growth and inclusion.
Interested in learning more about Paymentology? Check out our article on Getting Started - What can Paymentology do for you.
FAQs
Q: What is BIN Sponsorship and why does it matter for Colombian issuers?
A: BIN (Bank Identification Number) sponsorship allows issuers to launch payment solutions without needing their own direct scheme membership with Visa or Mastercard. This is crucial in markets, where issuers face complex regulatory requirements and high setup costs. Paymentology’s BIN sponsorship model enables issuers to bypass these barriers, launching their card programmes faster and more efficiently.
Q: Is BIN sponsorship a cost-effective solution for issuers?
A: Yes. Setting up a direct market presence in Colombia can be costly, requiring regulatory approvals, infrastructure investments and compliance management. BIN sponsorship removes these financial barriers.
Q: Can issuers scale their operations effectively with BIN sponsorship?
A: Absolutely. Whether an issuer is looking to increase card issuance, expand into new regions or adapt to shifting market demands, BIN sponsorship provides the necessary flexibility. With Colombia’s payment card market expected to handle 2.6 billion transactions annually by 2028, up from 1.7 billion in 2024, scalability is critical. Paymentology ensures issuers have the infrastructure and support to grow efficiently.
Q: What role does BIN sponsorship play in financial inclusion in Colombia?
A: By reducing barriers to entry, BIN sponsorship enables more financial institutions to offer digital payment solutions, helping drive financial inclusion. Digital wallets and alternative payments are gaining traction.
Q: How does Paymentology support issuers beyond BIN sponsorship?
A: Paymentology provides a full suite of next-generation issuer processing solutions, helping fintechs, digital banks, and retail banks manage and scale their card programmes globally. With deep local market knowledge and 24/7 support across 50+ countries and 14 time zones, Paymentology ensures issuers have everything they need to succeed
About Paymentology
Paymentology is the leading next-generation issuer processor, empowering fintechs, digital banks and retail banks to effortlessly launch and manage innovative payment solutions on a global scale. The company drives greater customer choice and value through easy-to-use, integrated platforms and services that help clients to disrupt the status quo, accelerate time to market, and achieve growth.
With a superior multi-cloud platform offering a vast global footprint, and enhanced real-time data, Paymentology distinguishes itself as a leader in the payments industry. Its team of payments experts, with deep local market knowledge, operates across 50+ countries and 14 time zones, providing 24/7 support. Paymentology is deeply committed to expanding financial inclusion globally, changing lives and positively impacting the communities in which it operates.
