Apple ends its buy now, pay later service after partnering with Affirm

Apple (NASDAQ:AAPL) is discontinuing its buy-now-pay-later service that launched in the U.S. in March 2023, as it will begin allowing installment loans through third-party app Affirm (NASDAQ:AFRM) as well as credit and debit cards later this year.

“Starting later this year, users across the globe will be able to access installment loans offered through credit and debit cards, as well as lenders, when checking out with Apple Pay,” an Apple (AAPL) spokesperson told 9to5Mac. “With the introduction of this new global installment loan offering, we will no longer offer Apple Pay Later in the U.S.”

Through Apple Pay Later, customers could buy products online for up to $1,000 and pay in four installments with no interest.

Now, Apple (AAPL) will focus on new payment options announced last week at its annual developers’ conference.

“Users can access installment loan offerings from eligible credit or debit cards, when making a purchase online or in-app with iPhone and iPad,” the tech giant had announced.

“The ability to access installments from credit and debit cards with Apple Pay will roll out starting in Australia with ANZ (OTCPK:ANZGY) (OTCPK:ANZGF); in Spain with CaixaBank (OTCPK:CAIXY) (OTCPK:CIXPF); in the U.K. with HSBC (HSBC) and Monzo; and in the U.S. with Citi (C), Synchrony (SYF), and issuers with Fiserv (FI). Users in the U.S. will also be able to apply for loans directly through Affirm (AFRM) when they check out with Apple Pay.”