Most popular options for shopping

Consumers looking to buy everything from travel has a MacBook to newer, fashionable jeans have the option to finance the cost of their purchase over time with buy now, pay later.

BNPL allows consumers to purchase items online or in-store, and spread the cost over a few weeks or months.

There are many BNPL providers, including To affirm, After-payment, zipper, “Pay in 4” from PayPal, Klarnaand Sezzle.

New options are introduced all the time with Apple jumps into the BPNL game early June and PayPal announcing in mid-June that it was adding options for longer-term installment loans for higher cost purchases not currently covered by its Pay-in-4 product.

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Here is an overview of popular BNPL options and some of their features.

How to pay in four with To affirm

Affirm offers a variety of purchase loan products like as low as $50 to as high as $17,500, online or in-store, with payment options ranging from six weeks to 60 months.

There is a mixture of interest-free options and interest-bearing options. The product that pays off in four is always interest-free, while longer, monthly plans can be interest-free or interest-bearing depending on the merchant and the transaction.

Affirm also has a virtual card that can be used anywhere Visa is accepted. Thus, if a supplier does not partner with Affirm, the customer can still split their payment into several installments by requesting the single-use virtual card.

Interest rate: 0% to 30%

Loan conditions : 1 month to 48 months

Costs: There are no late fees, but late payments can affect your ability to get a loan in the future and possibly your credit score.

Merchants available: Affirm says it has more than 200,000 merchant partners, including major retailers like Walmart, Target and Amazon, as well as travel companies like Expedia, American Airlines and VRBO.

Additional services: Through the Affirm app, consumers can also contact BNPL at any retailer, online or in-store, that is not a partner of the company. Consumers will receive a single-use virtual card to pay. Affirm is also rolling out a debit card called Debit+ that allows shoppers to choose between paying in full by debit or converting eligible purchases to pay-over-time in the Debit+ app. The card will be available to all eligible consumers by the end of June 2022.

Loan amounts: Up to $17,500

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How to pay in four with After-payment

Afterpay is owned by Square (now Block, Inc.) so customers can pay with the Afterpay app at any retailer that uses Square at the point of sale. Afterpay only offers one loan option which is a zero interest loan paid in four installments over 6 weeks.

Interest rate: 0%

Loan conditions : Four installments over 6 weeks starting with a 25% deposit at time of purchase.

Costs: Late fee of $8 or 25% of transaction, whichever is lower.

Merchants available: Afterpay says it has 144,000 global merchant partners. Consumers can also use the Virtual Afterpay Card to pay for in-store purchases at select merchants, including those using Square.

Amount of the loan: It depends on how long a customer uses Afterpay and pays on time.

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How to pay in four with zipper

Zip, formerly known as Quadpay, offers only one loan option: a zero interest loan paid in four installments over 6 weeks. The company charges transaction fees for each payment and charges late fees. Zip allows customers to use the Chrome app or extension to purchase from retailers that are not Zip partners via a single-use virtual card, in-store or online.

Interest rate: 0%

Loan conditions : Four interest-free payments over 6 weeks

Costs: Zip charges a transaction fee of $4 for each purchase, or $1 per payment. There is also a $7 late fee for each late payment.

Merchants available: Zip claims to partner with more than 18,500 merchants, including GameStop and Fashion Nova. Consumers can also use the Zip app or Chrome extension to make a purchase from retailers that are not integrated with Zip. Customers will receive a unique virtual card to fund their purchase in-store or online.

Loan amounts: Usually between $35 and $1,500.

How to pay in four with PayPal

Any online merchant that uses PayPal can also offer the company’s Pay in 4 option. This service is not available in Missouri, Nevada, New Mexico, North Dakota, Wisconsin or any other US territory depending on the company.

Interest rate: 0%

Loan conditions : Four installments over 6 weeks starting with a 25% deposit at time of purchase.

Costs: No late fees

Merchants available: Pay in 4 is available at millions of merchants but is not accessible to merchants who are not integrated with PayPal.

Amount of the loan: The purchase price must be between $30 and $1,500.

Additional services: PayPal just announced a new service called Pay Monthly which will allow consumers to make larger purchases between $199 and $10,000 and allows them to spread the total cost in monthly payments over a period of six to 24 months, with the first payment due one month after purchase. Consumers approved for a Pay Monthly loan will be presented with up to three different plans of varying terms with a risk-based APR ranging from 0% to 29.99%.

How to pay in four with Sezzle

Sezzle offers a unique option to reschedule any of your four installments, moving it up to two weeks, for free. Using this extension, six-week loans can be repaid over eight weeks with no additional fees or interest.

Interest rate: 0%

Term of the loan : Sezzle has a short term loan which is four installments over six weeks. You can extend up to eight weeks by taking advantage of their option to defer a payment for free.

Late fee: You are allowed to defer one payment per order for free and after that deferral fees apply depending on your state.

Merchants available: Sezzle has 47,000 partner brands such as Target and GameStop.

Loan limit: $2,500

How to pay in four with Klarna

Klarna, like many other BNPL companies, offers a standard interest-free 4-payment model. In addition to partners who accept Klarna for online purchases, app users can create a single-use virtual card to pay for in-store purchases and spread payments over six weeks.

Interest rate: 0%

Term of the loan : Four installments over 6 weeks starting with a 25% deposit at time of purchase.

Late fee: A late fee of up to $7 may be charged if a scheduled payment remains unpaid after 10 days.

Merchants available: Klarna has 200,000 retail partners and can be used in-store via the Klarna app as well as online. Customers use the app to create a unique virtual card that can be used at any store that accepts contactless payments.

Loan limit: No predefined limits. Each user’s limit is determined by payment history and past Klarna usage.

Follow Katie Wedell on Twitter: @KatieWedell and Facebook : facebook.com/ByKatieWedell

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