Apple drops BNPL offering in US

Just 8 months after its October 2023 launch, Apple axes pay later loans. Instead, Apple will offer users instalment loans from credit cards, debit cards and lenders when checking out with Apple Pay

Douglas Blakey June 18 2024

BNPL option Apple Pay later, previewed in the US last March ahead of a general October roll out, has been axed. Apple Pat Later offered BNPL loans via Apple Pay. At checkout, users were able to apply for a loan from $50 to $1,000. The purchase could be split into four equal payments over six weeks, with no fees or interest charges.

Apple told 9to5Mac in a statement: “Starting later this year, users across the globe will be able to access instalment loans offered through credit and debit cards, as well as lenders, when checking out with Apple Pay. With the introduction of this new global instalment loan offering, we will no longer offer Apple Pay Later in the US. Our focus continues to be on providing our users with access to easy, secure and private payment options with Apple Pay. This solution will enable us to bring flexible payments to more users, in more places across the globe, in collaboration with Apple Pay enabled banks and lenders.”

Apple’s instalment loan feature via Apple Pay will be offered in a number of markets. It kicks off in Australia in partnership with ANZ. In Spain, Apple Pay has teamed up with CaixaBank and in the UK with HSBC and Monzo.

By contrast, Apple Pay Later, only launched in the US. Now in the US, Apple has teamed up with Citi, Synchrony, and issuers with Fiserv. Users in the US will also be able to apply for loans from Affirm when they check out with Apple Pay.

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