Apple Pay Later: A new way to pay for your purchases
Apple has launched a prerelease version of Apple Pay Later, a new service for Apple Pay users that enables them to split their purchases into four equal payments over six weeks, without any interest or fees. This service is available for in-app and online purchases when customers checkout with Apple Pay.
This feature is designed to be a convenient way for customers to finance purchases that they may not be able to afford to pay for all at once. However, it is essential to note that it is not a loan, and customers are not borrowing money from Apple or a bank. Instead, they are simply splitting their purchases into four equal payments. Goldman Sachs is involved in the process.
Apple Pay Later comes with no interest or fees, and users can pay off their balance early without penalty. Approval for the service does not involve a “hard” credit pull that can affect a credit rating. Instead, Apple conducts a “soft” pull. Additionally, Apple Pay Later is subject to the same security measures as other Apple Pay transactions, ensuring users’ information is safe and secure.
According to Jennifer Bailey, VP of Apple Pay and Apple Wallet, people have different ways of managing their finances, and many seek flexible payment options, which is why Apple is excited to provide Apple Pay Later. This service is designed with the users’ financial health in mind, making it easier for consumers to make informed and responsible borrowing decisions.
Currently, Apple Pay Later is only available for select users in a limited early access launch, and users will be chosen at random. It is also limited to users in the USA.