Apple on Tuesday launched its buy now, pay later service within the United States, which is able to allow consumers to pay for his or her purchases over time.
Service, Apple Pay laterit’ll allow users to separate purchases into 4 payments spread over six weeks without interest or fees, the corporate said.
According to the corporate, users can apply for loans starting from $50 to $1,000, which could be used for online and in-app purchases made on iPhone and iPad at retailers that accept Apple Pay.
The company said Apple Pay is accepted by over 85% of US retailers.
Buy now, pay later Shares of Affirm Holdings fell 2.7%.
Apple Pay Later is made possible by the Mastercard Ratals program, the corporate said, adding that Goldman Sachs was the issuer of the Mastercard payment credentials.
The company will begin inviting certain users to access a pre-release version of Apple Pay Later and plans to supply it to all eligible users in the approaching months.
BNPL’s business model was born in times of very low rates of interest, however the prospect of everlasting rate of interest increases raises concerns within the sector.
Apple announced pay-late service in June last yr.
