ID Finance Unleashes Turrón BNPL Card via Plazo, Igniting Spanish Fintech Market!

ID Finance has officially launched its innovative buy now, pay later (BNPL) product, Turrón by Plazo, in Spain. Going live on July 14, 2026, Turrón is designed as a seamless financial tool that automatically converts eligible purchases into interest-free installments when transactions are made at partner merchants, both in physical stores and online. This new offering integrates a combined e-money account with a debit card, all managed and distributed through ID Finance's established Plazo application.

A core design philosophy behind Turrón is its departure from the traditional BNPL model, which typically requires customers to select an installment option at the point of sale. Instead, the Turrón card intelligently and automatically splits qualifying transactions into repayment terms. The standard arrangement allows for three monthly installments, though larger purchases at specific retailers can benefit from extended terms of up to 12 months. This user-centric approach is further enhanced by the absence of maintenance fees or subscription charges, making it a cost-effective solution for consumers. Additionally, the Plazo app provides users with a convenient way to track cashback earned from spending at partner merchants.

Vitali Yermakou, country manager at ID Finance, emphasized the product's intuitive integration into daily spending habits. He stated, “The card fits naturally into the way people already pay for everyday purchases, with instalments being applied automatically which removes the friction for customers when they are spending at merchants.” This frictionless experience is key to Turrón’s appeal and its aim to simplify the BNPL process.

The launch of Turrón follows a significant financial achievement for ID Finance, which secured a €140 million structured funding round in 2024. These funds were instrumental in supporting the comprehensive build-out of Plazo. The Plazo unit itself demonstrated robust financial health by reaching profitability for the first time at the close of 2025. Looking ahead, ID Finance anticipates that the merchant network expansion driven by Turrón will be a major contributor to Plazo achieving full-year operating profitability in 2026. While optimistic about these projections, the company refrained from disclosing specific revenue figures or transaction volume targets alongside the announcement.

It is important to note the nature of the 2024 funding round, which was characterized as 'structured' rather than conventional equity. This distinction suggests that the funding likely comprised debt facilities or revenue-based instruments, which carry different implications for aspects such as dilution of ownership and repayment obligations compared to a standard venture capital investment.

Turrón enters a rapidly maturing BNPL market in Spain, one that has recently undergone significant regulatory changes. The revision of the European Consumer Credit Directive, which came into effect in late 2023, has broadened the scope of affordability checks and disclosure requirements to encompass short-term installment products previously exempt from consumer credit regulations. Consequently, any BNPL issuer operating within the EU, including ID Finance, must now adhere to more granular creditworthiness assessment rules. This regulatory shift presents a unique challenge for Turrón’s automatic-split model, as the underwriting decision must be made prior to or at the point of card issuance, rather than at the checkout stage, increasing the compliance overhead.

The Spanish competitive landscape features a mix of global BNPL entities that have forged partnerships with local merchants, as well as domestic fintech lenders. ID Finance's strategic differentiator lies in its distribution model: leveraging its existing Plazo user base rather than pursuing a merchant-led acquisition strategy. This contrasts with the model adopted by standalone BNPL providers embedded directly into e-commerce checkouts. A critical commercial question for Turrón's inaugural year will be whether its established user base can generate sufficient transaction volume to attract and sustain a competitive and expansive merchant network.

Key near-term milestones to monitor include the growth in the number and diversity of partner merchants, any indications of ID Finance replicating this rollout strategy in its other significant operating market, Mexico, and any subsequent updates regarding the full-year profitability target as the 2026 results season approaches.