Skip to main content
Best News Website or Mobile Service
 
WAN-IFRA Digital Media Awards Worldwide
Best News Website or Mobile Service
 
Digital Media Awards Worldwide
Hamburger Menu

Advertisement

Advertisement

Business

Apple launches buy now, pay later service in US

Apple launches buy now, pay later service in US

FILE PHOTO: The Apple Inc. logo is seen hanging at the entrance to the Apple store on 5th Avenue in Manhattan, New York, U.S., October 16, 2019. REUTERS/Mike Segar/File Photo

Apple on Tuesday (Mar 28) launched its buy now, pay later (BNPL) service in the United States that will allow consumers to pay for purchases over time.

The service, Apple Pay Later, will allow users to split purchases into four payments spread over six weeks with no interest or fees, the company said.

Users can apply for loans between US$50 and US$1,000, which can be used for online and in-app purchases made on iPhone and iPad with merchants that accept Apple Pay, according to the company.

Apple Pay is accepted by over 85 per cent of US retailers, the company said.

BNPL firm Affirm Holdings Inc's shares fell 2.7 per cent.

Apple Pay Later is enabled through the Mastercard Installments program, the company said, adding that Goldman Sachs was the issuer of the Mastercard payment credential.

The company will begin inviting some users to access a pre-release version of Apple Pay Later, and plans to offer it to all eligible users in the coming months.

The BNPL business model emerged in times of very low interest rates, but the prospect of sustained increases to interest rates has raised concerns for the sector.

Apple announced the pay-later service in June last year.

Source: Reuters

Advertisement

Also worth reading

Advertisement