---
term: "Split payment"
category: "Money movement"
url: https://federatedbanking.com/glossary/split-payment
source: Federated Banking™ glossary
---

# Split payment

> One incoming payment divided automatically between several destinations, such as seller, platform and tax.

A split payment divides a single incoming payment into agreed amounts for different recipients. An order of one thousand pounds might be allocated between the seller, the platform, delivery and tax. The allocation follows rules agreed in advance, so each party receives what they are due and the total always adds up.

Related terms: [Platform finance](https://federatedbanking.com/glossary/platform-finance.md), [Payment](https://federatedbanking.com/glossary/payment.md)