How to Build a Split Payments App Like Tamara

Ever felt the tension around a restaurant table when the bill arrives? That moment of hesitation…who’s paying, how much, can we split it? It’s like joy meets a speed bump. But what if splitting payments felt as natural as adding items to a cart? What if the very act of paying became invisible, seamless, almost poetic? Tamara, the UAE’s favourite Buy Now, Pay Later disruptor, allows users to divide purchases into installments or pay later. It was founded in Riyadh, Saudi Arabia, by Abdulmajeed Alsukhan in late 2020 according to Tracxn and Turki Bin Zarah and Abdulmohsen Al Babtain, according to MAGNiTT. Competitors include Tabby, valU, and Mondu.

Tamara allows users to shop at various stores, including SHEIN, Namshi, and IKEA, and select Tamara at checkout according to Google Play. Users can choose to split their total bill amount into installments, typically three monthly payments, get real-time reminders, access to Farah discounts, and control over their accounts, without needing to call support or log into web portals.

Tamara app provides a convenient way to manage payments, receive reminders, and track payment plans. Tamara has expanded its reach to include over 1,000 merchants across the Middle East South Africa and Southeast Asia region, including Vietnam and Germany. The app has garnered a high rating on the Google Play Store (4.7/5 stars).

What Exactly Is Tamara?

Tamara is not a credit card. It’s a Buy Now, Pay Later (BNPL) platform — a fintech tool that enables customers in the UAE and other GCC nations to split their payments into manageable portions. The draw? No interest. No hidden charges. It’s designed for the region’s shoppers and merchants alike, especially in e-commerce and retail sectors.

Why Does Tamara Work So Well in the UAE?

In the UAE, where innovation is stitched into the skyline and convenience is currency, Tamara fits like a glove. It gives users the freedom to buy today and split their payments into easy, interest-free installments, whether online or at the physical checkout. It does not feature any interest, any hidden fee or any hidden terms of use. It can be used for online and in-store use, at fashion outlets, in gadget stores and even in car accessory shops. It features Arabic first user experience. It prompts real time reminders so that users never miss a due date.  Refunds are possible in one tap.

How Do You Build a Split Payments App Like Tamara?

If you’re serious about building this in the UAE, this blueprint will guide you:

• Flexible payment plans (e.g., Pay in 2/3/4 instalments). Integrate local lending regulations, Shariah-compliant options, and dynamic due date management.

• Partner with Emirates ID verification APIs. Use behavioural scoring to approve customers within seconds without a deep credit footprint.

• Provide SDKs and plugins for Shopify, WooCommerce, Magento, and local POS systems like Aloha or Vend.

• Work with regional leaders like PayTabs, Network International, and Tele for secure and fast transactions.

• Arabic/English interface, biometric login, smart checkout flow, and real-time UI transitions.

• Replicate Tamara’s “Farah” system with reward logic, tiered benefits, and seasonal promotions for partner retailers.

• Enable push notifications for upcoming payments, auto-adjust plans when returns happen, and track financial habits.

A Homegrown Success

A startup in Sharjah partnered with a local mobile app development company to build a stripped-down BNPL model for university students buying laptops. With smart parental co-signing and limited exposure per transaction, they captured over 10,000 student users in just 5 months. They didn’t clone Tamara. To age, need, and trust dynamics in the UAE.

What’s the Real Cost?

Unidentifiable, but estimable. MVP version of the app would cost: AED 150,000 - AED 250,000, Full feature would cost: AED 350,000 - AED 600,000, Enterprise Grade version of the app would cost: AED 800,000+ (inclusive of  UI/UX, backend infrastructure, compliance, and QA)

If This App Were a Souk Vendor…

Imagine your app as a souk vendor in Dubai. It smiles warmly, offers you a fair deal, and gently nudges you with, “Don’t worry, pay me later.” Would you trust it? Would you come back? If yes, you’re building the right thing.

What Are the UAE-Specific Pitfalls to Avoid?

1. Regulatory Non-Compliance
   
    The UAE’s Central Bank and DFSA are tightening digital lending norms. You’ll need full legal clearance for BNPL models, especially with deferred payments.
   
   
2. Late Payment Risk
   
    Incentivize timely payment with reminders, grace periods, and micro-penalties—not American-style crushing interest rates.
   
   
3. Merchant Resistance
   
    Build an onboarding funnel that’s faster than a Dubai Metro ride. Free trials. Low integration effort. Clear ROI.
   
   
4. Cultural Disconnect
   
    A flashy Western UI won’t work. Built with Arabic fonts, cultural patterns, and shopping psychology relevant to Emirati and expat users alike.
   
   

Why is the Time Now?

The BNPL market in the MENA region is projected to surpass $10 billion by 2026. In a cash-lite economy like the UAE, Dubai is setting fintech policy trends for the entire GCC. Tamara’s success is a proof of concept, not the final word. The market isn’t saturated; it’s just begun heating up. Your competitors are already prototyping. Are you still drafting?

Is Tamara Just for Online Shopping?

No. That’s the common assumption, but it’s inaccurate. Tamara operates across both digital and physical retail. If a store is partnered with Tamara, whether it’s a fashion brand or a perfume outlet, customers can pay later in-store just as smoothly as online.

Can It Handle Shared Purchases?

Through Tamara’s split payment function, people can divide the cost of a single transaction, which is useful in the UAE’s social culture, like shared gifts, family dining, or travel bookings.

How Does Tamara Encourage Spending or Saving?

Through the Farah Program. This isn’t a reward gimmick. It’s a discount access system. Users get exclusive offers from participating brands inside the app. The aim? To drive recurring engagement without relying on debt or interest traps.

Is There a Catch?

No interest. No hidden fees. That’s their stated policy, and in practice, Tamara earns from merchant partnerships, not customers. If you pay on time, there’s no additional cost. It’s that simple.

Which Stores Accept Tamara?

Tamara is deeply integrated with major regional players: SHEIN, Namshi, Noon, Nice One, Golden Scent, IKEA.

How Will You Make Money If Users Aren’t Paying Fees?

The merchants pay you to grow their sales - (1) Merchant Commissions: 2–6% per transaction, (2) Data Partnerships: anonymised insights for supply chains and retailers, (3) Upsell Features: Early repayment discounts, tiered loyalty systems. If you’re building for the long term, don’t chase user fees; instead, focus on lifetime merchant value.

Can Merchants Integrate Tamara into Their Store?

Yes. That’s one of Tamara’s strongest business value-adds. It supports: Direct checkout plugins, Custom API integration, Merchant dashboards for payment reconciliation. This positions Tamara as a conversion booster for UAE e-commerce platforms.

Is Tamara Regulated?

Tamara is compliant with local data protection standards, which is important for UAE merchants concerned with customer data handling. It also adheres to spending limits, which are adjusted to user history and repayment patterns. With Shariah-compliant business practices, Arabic/English interfaces, and seamless refund handling, it aligns well with what UAE consumers demand in 2025.

Are You Solving a Problem, or Building Another App?

Users often forget an app once they install it unless it is a critical food delivery app, or a medicine delivery app. Ask yourself, are you helping a young graduate furnish her first flat in Abu Dhabi? Helping a father in Sharjah buy school uniforms without dipping into rent money? Because that’s what BNPL apps like Tamara really do. And with the right mobile app development services, you could be next.

Get Set on your journey to make your fintech app

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