Massive Disruption: Sparkasse Halts Payment Services for Millions
Sparkasse Payment Method to be Replaced by Wero App
The popular Sparkasse payment method is being discontinued, with the old service known as Kwitt set to cease operation after August 25th. This change comes as the bank introduces a new account-to-account payment solution called Wero.
Wero is a modern, real-time bank-based app that aims to offer a seamless alternative to existing payment options. The app has already gained traction in Belgium, France, and Germany, with over 42 million users and €5 billion processed in peer-to-peer (P2P) volume in its first three months.
To use Wero, customers simply need to register with a phone number or email address. The app allows for easy and secure transactions, with payment tracking in real time. It also integrates with banking apps like Sparkasse’s app to manage transactions.
Wero is poised to address the "giropay gap" in online bank payments in Europe and plans to expand its functionalities to support eCommerce payments within the current year and in-store payments starting in 2026. It also aims for broad integration across European mobile wallets, promoting cross-border acceptance alongside domestic solutions like Blik (Poland), Bancomat (Italy), and others.
The abrupt decision to end the Sparkasse payment method has left many customers confused. However, Wero ensures that customers can still send and receive money with their phone. Customers who want to continue using a similar service may consider switching to Volksbank, although they have also announced plans to phase out and replace the service.
Customers previously had the option to request or send money without using IBAN with the Sparkasse payment method. This convenience was a hallmark of the old service, as transactions up to 30 euros didn’t require a TAN. Recipients, even if they didn't use the service, would receive a link with the corresponding IBAN.
The discontinuation affects millions of customers, and those who do not switch to Wero or Volksbank will need to find an alternative payment method. Transactions with Wero can be completed within ten seconds, providing a quick and efficient solution for customers.
In summary, the Sparkasse has replaced the Kwitt payment method with the Wero app, offering a modern, real-time bank-based app solution designed to integrate smoothly with existing banking apps and enhance user convenience through immediate transaction tracking and cross-border interoperability plans. Customers who do not switch to Wero or Volksbank will need to find an alternative payment method.
Other business decisions have been made by the bank, as they plan to expand the functionalities of Wero to support eCommerce payments within this year and in-store payments starting in 2026. Finance will be handled more efficiently through Wero, considering it processes transactions within ten seconds.
