Apple Pay Later

Apple on Tuesday launched an option in its digital wallet allowing customers to pay for online purchases in installments, making it the latest company to ...

Apple users will be able to track and manage upcoming loan payments in the Wallet app. “Many people are looking for flexible payment options, which is why we’re excited to provide our users with Apple Pay Later.” “So the possibility is that you could, in your mind, think of everything that you’re buying in those four installments and, as a result, take on more debt than you would if you had to pay for them in full each and every time.” Apple [first teased](https://www.apple.com/newsroom/2022/06/apple-unveils-new-ways-to-share-and-communicate-in-ios-16/) the feature last year. The new feature, called Apple Pay Later, lets customers split payments for purchases into four installments over six weeks, with the first installment due at the time of purchase. Other popular services that offer the same payment option include Affirm, Klarna and

Apple's buy now, pay later (BNPL) service, Apple Pay Later, is launching in the United States, competing with services like Klarna, Afterpay, and Affirm.

As noted by Apple, the Pay Later program is managed by a new subsidiary, Apple Financing LLC, which the company says “is responsible for credit assessment and lending.” The company did, however, partner with the BNPL program Mastercard Installments to enable Apple Pay Later, while “Goldman Sachs is the issuer of the Mastercard payment credentials.” Apple Financing LLC will begin reporting Pay Later loans to US credit bureaus starting in the fall, the company says. [potentially harming customers](https://www.theverge.com/2022/6/8/23157184/ugly-economics-behind-apple-buy-now-pay-later-system-bnpl). The service is only available in the US and for online and in-app purchases on iOS 16.4 and iPadOS 16.4. It was supposed to debut with iOS 16; however, Bloomberg’s Mark Gurman reported in September that [developers were contending with “technical and engineering issues,”](https://www.theverge.com/2022/9/25/23371100/apple-pay-later-bnpl-reportedly-facing-technical-engineering-issues-gurman) delaying its rollout. Apple says users will be able to view and manage their loans within the Wallet app and that they’ll receive notifications when payment is due. The service, which Apple first

Apple on Tuesday introduced Apple Pay Later, which will allow users to split their purchases into four payments spread over six weeks.

The company said users can see the amount due for their existing loans, as well as the total amount due in the next 30 days, in Apple Wallet. Individuals can apply for Apple Pay Later loans of between $50 and $1,000 and use them for in-app and online purchases made through merchants that accept Apple Pay. Users can apply for a loan within the Apple Wallet app without it affecting their credit score, Apple said.

Apple announced its Pay Later service last year, promising "a seamless and secure way to split the cost of an Apple Pay purchase."

Users can track and manage Apple Pay Later loans in Wallet, and they will receive notifications via the app and email before payments are due. The services allow consumers to make purchases and pay them over time after an initial payment. For now, the service will be available only to randomly selected users who will get early access to a prerelease version of Apple Pay Later. To get started, users can apply for a loan within the Wallet app on iOS. They will then be prompted to enter the amount they want to borrow and agree to the Apple Pay Later terms. Apple Pay users will be able to apply for Apple Pay Later loans of $50 to $1,000, which can be used for online and in-app purchases on their iPhone or iPad.

Apple has launched Apple Pay Later, the consumer tech giant's first foray into the buy now, pay later space.

Apple Inc on Tuesday launched its "buy now, pay later" (BNPL) service in the United States, a move that threatens to disrupt the fintech sector dominated by ...

"Apple Pay Later will absolutely wallop some of the other players. "We expect Apple to tread cautiously, especially in this macro environment," said Christopher Brendler, analyst at D.A. It will initially be offered to select users, with plans of a full roll-out in the coming months. [(GS.N)](https://www.reuters.com/companies/GS.N) was the issuer of the Mastercard payment credential. Register for free to Reuters and know the full story [(AAPL.O)](https://www.reuters.com/companies/AAPL.O) on Tuesday launched its "buy now, pay later" (BNPL) service in the United States, a move that threatens to disrupt the fintech sector dominated by firms like Affirm Holdings [(AFRM.O)](https://www.reuters.com/companies/AFRM.O) and Swedish payments company Klarna.

Payments can be tracked directly through Apple Wallet. Apple Financing will report Apple Pay Later loans to U.S. credit bureaus starting this fall. Select users ...

[buy now, pay later](https://www.investopedia.com/buy-now-pay-later-5182291) service immediately, the company said Tuesday. Users can then make a purchase with merchants that offer Apple Pay and track their payments directly in the Apple Wallet. The service will be provided by Apple Financing LLC, which will begin reporting payment information to U.S. The government’s consumer watchdog has voiced concerns that programs like these encourage consumers to rack up too much debt. Users will be able to track their "buy now, pay later" balances in multiple ways—the total amount due, the amount due within 30 days, and a calendar view will all be available. Apple's program will allow customers to spread purchases over a six-week period with zero interest or fees.

The interest-free loan service, with no additional fees, is an attractive payment option for iPhone and iPad users.

[75%:](https://fitsmallbusiness.com/buy-now-pay-later-statistics/) US BNPL users that are Gen-Z or millennials [5%:](https://finance.yahoo.com/video/buy-now-pay-later-enemy-165432844.html) BNPL as a share of US e-commerce. [He said](https://www.bloomberg.com/news/articles/2022-06-07/affirm-ceo-says-he-s-not-worried-about-apple-s-pay-later-rival) Apple’s service “creates a really nice tailwind for us” by letting more people know about BNPL. [Apple Card](https://www.apple.com/apple-card/), the credit card the company launched in the US in August 2019. [150 million:](https://www.businessofapps.com/data/apple-statistics/) Active iPhone units in the US as of 2022 [85%:](https://nypost.com/2023/03/28/apple-launches-buy-now-pay-later-service-in-us/) Share of US retailers that accept Apple Pay, including [fashion brands, restaurants, gas stations, pharmacies](https://www.igeeksblog.com/stores-that-accept-apple-pay/), and more. At the same time, Apple Pay Later could introduce new customers to the BNPL environment, potentially expanding the user base for the industry overall. The firm will then perform a soft credit pull—review the user’s credit report and credit score to assess financial limits—before approving them. Affirm, founded by PayPal co-founder Max Levchin, lets users take out multiple loans, with the maximum value of one loan [capped at $17,500](https://www.cnbc.com/select/affirm-personal-loans-review/#:~:text=You're%20able%20to%20take,on%20one%20loan%20is%20%2417%2C500.). Klarna, which shows users their estimated purchasing power, has no predetermined limit and makes decisions on a [case-by-case basis](https://www.klarna.com/us/customer-service/how-much-am-i-eligible-to-spend/#:~:text=There%20is%20no%20predefined%20spending,time%20you%20pay%20with%20Klarna.). [ Mizuho analysts argue](https://www.investing.com/news/stock-market-news/apple-announces-pay-later-affirm-holdings-shares-tumble-432SI-3042816) that there shouldn’t be much cause for concern for Affirm, given its “more modest customer overlap with Apple Pay (20% vs. [Save $947% Off Essential Organic PH Cleanser](https://go.linkby.com/YCBGCZUI) “To help prevent users from taking on more debt to pay back loans, credit cards will not be accepted,” Apple said. 28), lets users split purchases into four payments, spread over six weeks, for no additional fees or interest.

Final 25%: Six weeks. The maximum amount you can finance is $1,000. Unlike credit and charge cards, where your typical credit limit will be measured in ...

If you don’t, then it’s unclear how Apple will handle the matter, but it’s entirely possible you’ll then run up fees and charges. So at best, Apple Pay gets you an extra week – for just 25% of the total. That first installment is due on the day you make the purchase. You’ll then see a new tab asking you to choose between Pay in Full and Pay Later. Once you’ve decided what you want to buy, you apply for the service within the app. But while you will be able to use it soon, the question is: Should you?

Select users can now quickly finance purchases up to $1,000. Peter Butler headshot. Peter Butler. March 29, 2023 ...

[PayPal's Pay in 4 program](https://paypal.prf.hn/click/camref:1011lozuK/pubref:cn-___COM_CLICK_ID___-dtp___OPTOUT___/destination:https%3A%2F%2Fwww.paypal.com%2Fus%2Fdigital-wallet%2Fways-to-pay%2Fbuy-now-pay-later) works very much like Apple Pay Later, except that purchases are limited to between $300 and $1,500. [Apple Card Monthly Installments](https://apple.sjv.io/c/159047/435031/7613?&sharedId=cnet&u=https%3A%2F%2Fwww.apple.com%2Fapple-card%2Fmonthly-installments%2F&subId1=cn-___COM_CLICK_ID___-dtp___OPTOUT___) is an Apple program that lets you finance the purchase of [certain Apple products](https://support.apple.com/en-us/HT211204) when using the [Apple Card](/personal-finance/credit-cards/apple-card-review/) credit card. Following [IDs from Colorado and Arizona](/tech/mobile/apple-opens-digital-drivers-license-and-state-id-program-starting-with-arizona/), Apple Wallet plans to add support for 11 more states. Also, the interest-free installment period for Apple Pay Later -- six weeks -- is much shorter than the payment plans offered by Apple Card Monthly Installments. If you're one of the "select users" to receive an invite from Apple, you can start using Apple Pay Later now. Apple Pay Later has no plan to charge fees for late payments, though it may use late payments as an excuse to reject future BNPL loans. Apple Pay Later will work with any merchants who accept Apple Pay. Apple Pay Later lets you break the cost of purchases into four equal payments spread over six weeks. [buy now, pay later](/personal-finance/credit-cards/buy-now-pay-later-vs-credit-cards/) ring. However, the product's launch was delayed due to "significant technical and engineering challenges," per [Bloomberg](https://www.bloomberg.com/news/newsletters/2022-09-25/should-i-buy-the-iphone-14-pro-max-if-i-have-an-iphone-13-wait-until-iphone-15-l8he7uvv). Selecting the latter option will bring up a payment schedule displaying the amount of each of the four payments and when they'll be due. Here's what you need to know about the payment plan, how it works and when it will be open to all iPhone users.

Apple launched its "buy now, pay later" (BNPL) service in the US to compete for the more than $100 billion in purchases Americans make using this payment ...

But the BNPL race has a lot more laps to go. Few (if any) will be able to do that in more than just a couple of product categories resulting in specialization by product category. Brands will be able to choose the products they want to promote via sponsored listing formats, and pay only when a shopper engages with the ad. BNPL providers will need to be masters of the customer journey. Afterpay, for example, announced that it will enable its merchant partners to advertise on the BNPL firm's app to boost their promotions, products, and offers. Not surprisingly, news of the Apple Pay Later launch sent BNPL providers’ stock prices down. Driving buy now, pay later purchases with Apple Pay users will help Apple identify potential Apple Card converts to grow that business. According to a Q1 2022 study from Cornerstone Advisors, roughly half (52%) of consumers with a smartphone and a checking account make mobile person-to-person (P2P) payments. Klarna’s search engine compares thousands of websites to help consumers find the best price for products. Apple is—at its core—a products company. And Apple has some payments shortcomings that is accelerating initiative: Today, BNPL influences consumers’ choices of products and providers (i.e., earlier in the journey).

The new feature, called Apple Pay Later, lets customers split payments for purchases into four installments over six weeks.

How will Apple Pay Later work? Are there concerns about buy now, pay later? Companies like Affirm, Klarna, Afterpay are already using such programs.

[CNN](https://www.cnn.com/2023/03/28/tech/apple-pay-later-release/index.html). [CNBC](https://www.cnbc.com/2023/03/28/apple-pay-later-launches-in-us.html). More and more companies and customers are seeking services that provide payment installment options for purchases in similar price ranges as what Apple will be offering. “There’s no one-size-fits-all approach when it comes to how people manage their finances. Users can request a loan from inside the Wallet app, and if they get approval, users repay the amount of the purchase broken up into four installments over a six week period, absent interest or fees. [statement](https://www.apple.com/newsroom/2023/03/apple-introduces-apple-pay-later/).