xpate partnered with The Software House to add engineering capacity as its business grew. Working under xpate’s product and technology leadership, the teams developed automation and payment capabilities across the platform.
Today, xpate processes around ten times more monthly transactions than a year ago. Its platform brings payment acceptance, accounts, FX and payouts together, helping businesses manage money across markets.
Partnership goal:
→ to add engineering capacity to automate core processes and develop xpate’s payment platform alongside its internal team, without slowing delivery across the wider product roadmap.
About the client
xpate is a payment and banking platform with offices in Latvia and the United Kingdom. It brings payment acceptance, multi-currency accounts, card payouts, cross-border transfers and FX into one platform.
Its payment offering supports more than 150 currencies, with SEPA, SEPA Instant, SWIFT and Faster Payments among its available payment rails.
xpate operates through regulated entities in the UK and EU, with FCA authorisation in the United Kingdom and an electronic money institution licence from the Bank of Latvia.
INDUSTRY
Fintech
COUNTRY
the United Kingdom, EU
SERVICE
Engineering support and payment platform co-development
Business context
xpate’s growth brought new development priorities. Some core processes, including settlement and reconciliation, needed further automation to support increasing transaction volumes.
To support the next stage of growth, xpate needed additional engineering capacity across:
settlement and reconciliation automation,
multi-currency account workflows and cross-border transfers,
account funding automation,
merchant-facing APIs for payments, balances and reporting,
card payout capabilities.
TSH’s engineers worked alongside xpate’s internal team to deliver these developments.
Solution
xpate set the product direction, defined the requirements, and made the key architectural decisions. TSH provided engineering capacity to help implement that roadmap.
The work spans five areas of the platform:
Online payments
Card payout rails via OCT
Multi-currency accounts with named IBANs
FX operations
Merchant-facing payments API
Process
Engineers from both companies worked within the same team structure. TSH engineers contributed a significant share of the early code across the platform.
As xpate’s internal engineering team grew, the development contribution became more evenly balanced. Today, development is roughly split between xpate and TSH engineers, while product and technical ownership remain with xpate.
1. Online payments
Settlement and reconciliation were among the core processes xpate wanted to automate as transaction volumes grew.
To close that gap, xpate and TSH delivered:
Multi-gateway integrations for sales, refunds, chargebacks, OCTs, and two-phase transactions.
Acquirer integrations (Checkout.com, Silverflow) to process transactions and book aggregated settlements on Ledger.
Automated settlement engine logic to calculate settlements and fees based on multiple pricing models (blended, IC++, regional).
Generated settlement reports and liquidity statements in CSV and PDF formats.
Risk & liquidity management rolling reserve mechanisms to secure funds for refunds and chargebacks.
Portal-based workflows for disputes & fraud handling
Impact: xpate automated the full settlement lifecycle, replacing manual reconciliation with a unified system for calculating settlements and fees across multiple pricing models.
2. Card payout integration (OCT)
The teams worked on card payout capabilities, giving merchants a direct way to send funds to customers’ cards.
The teams built the full payout stack:
OCT payment integrations across Visa and Mastercard networks
Real-time outgoing payments with live exchange rates
Pre-execution balance checks to confirm sufficient funds before processing
Liquidity controls to ensure consistent execution of outgoing transfers
Impact: xpate processes card payouts across Visa and Mastercard, giving merchants a fast way to send funds directly to customers' cards for refunds, withdrawals, and other payouts, rather than relying solely on bank transfers.
3. Multi-currency accounts and named IBANs
Development across accounts and transfers focused on automating workflows and supporting xpate’s expanding banking and payment integrations.
The solution covered:
Bank & EMI integrations (Ibanq/IFX Payments, Incore, Inventi/EKS, MyEuPay) to enable multi-account infrastructure.
Multi-rail transfers (SEPA, SEPA Instant, SWIFT, FPS) for incoming and outgoing payments across 200+ countries.
Compliance & fraud controls (ComplyAdvantage, VOP (verification of payee), SEPA Instant alerts, manual review flows).
Automated transfer workflows (state-machine processing, scheduled payouts, reconciliation reports, real-time error monitoring).
Named & virtual IBAN infrastructure for automated incoming payments.
Multi-provider IBAN generation (Ibanq, Incore, Inventi/EKS) with xpate's own IBAN issuance under xpate SIA.
Impact: xpate replaced manual account operations with automated, traceable flows, handling SEPA, SWIFT, and FasterPayments transfers.
4. Foreign exchange operations
The teams also worked on FX operations for merchants managing funds across currencies.
xpate introduced:
FX provider integrations with Banking Circle for real-time currency exchange.
State-machine-based exchange engine for reliable, traceable conversion
Automated fund consolidation for scheduled transfers across multiple currency accounts into a single account.
Automated reporting with clear rate and fee visibility per transaction.
Impact: xpate’s FX workflows provide transaction-level visibility into exchange rates and fees.
5. Payments API
Earlier API usage was mainly focused on informational services, including reports and balance information. The teams worked on expanding these capabilities to support direct integrations with merchants’ systems.
To enable direct integrations, the teams built:
API-first architecture for payments, balances, and reporting.
Event-driven infrastructure that leverages AWS SQS, EventBridge, API Gateway, and Lambda for scalable, asynchronous processing.
Webhook system with real-time notifications for transaction status, balance changes, and report generation.
External integrations with Mambu via webhooks to synchronize core banking events.
Self-service API configuration and management via the portal.
Impact: xpate developed API capabilities for payments, balances, and reporting. These have since been expanded through xpate Pro, which brings account management, transfers and reporting directly into businesses’ own platforms and systems
Outcomes
The partnership gives xpate flexibility to bring in engineering expertise as the business grows, supporting automation and continued development across the platform.
→ Around 10x more monthly transactions.
ensured that no model-generated error could result in an incorrect transfer; every transaction was validated against user-confirmed identifiers before execution
→ Engineering capacity that grows with the business.
TSH provides additional expertise alongside xpate’s internal engineers, helping the company progress its roadmap as development needs evolve.
→ Continued development across payments and accounts.
The teams have worked together across settlement, card payouts, accounts, transfers, FX, and API capabilities now extended further through xpate Pro.
