Technology behemoth Apple has introduced a new way Apple users can make online and in-app purchases with the new “Apple Pay Later“.
According to an article on the company’s website, Apple Pay Later is available to Apple users in the U.S and allows users to split purchases into four payments, which are spread over a period of six weeks with no interest or fees. With Apple Pay Later, users can have access to loans of $50 to $1000, which can be used to make online and in-app purchases on their iPhone or iPad with merchants that accept Apple Pay.
BrandSpur Nigeria reports that Apple will begin inviting selected users to access the prerelease version of Apple Pay Later, before making it available for all eligible users in the coming months.
Commenting on the Apple Pay Later option, Apple’s Vice President Jennifer Bailey noted that Apple seeks to provide its users with a “flexible payment” option which is why Apple Pay Later was introduced.
She said “There’s no one-size-fits-all approach when it comes to how people manage their finances. Many people are looking for flexible payment options, which is why we’re excited to provide our users with Apple Pay Later,”
Jennifer also added that Apple had its users’ financial health in mind when the payment option was designed.
Apple Promoting Good Financial Health With “Apple Pay Later” With Zero Interest Rate
“Apple Pay Later was designed with our users’ financial health in mind, so it has no fees and no interest and can be used and managed within Wallet, making it easier for consumers to make informed and responsible borrowing decisions.” she said.
Users subscribed to Apple Pay Later can apply for loans within Apple Wallet with no impact on their credit card. After which they will be asked to enter the amount they will like to borrow, then accept Apple Pay Later terms and conditions. A “soft credit pull” will be conducted during the application process to check if the user is eligible for a loan.
When the user is approved, they can proceed to the Pay Later option, where they can select Apple Pay to make their purchase on iPhone or iPad. Users can also apply for loans during checkout once Apple Pay Later has been set up.
Apple Pay Later is built directly into Apple Wallet, so users can also manage all their loans in one place. Users can also see the total amount due for their existing loans and the ones due in the next 30 days. They can also see all upcoming payments on the calendar view so they can track and schedule their payments. Users will also receive notifications through their wallet and email before payment is due.
Apple Pay Later will also require users to link a debit card from their Wallet as their loan repayment option. Meanwhile, the debit card information provided is secured. Purchases made on Apple Pay Later are authenticated with Face ID, Touch ID, or Passcode options for security purposes.
According to the article shared by the company, Apple would not make loan history and transactions are done on Apple Pay Later available to third parties.
Apple Pay Later which is being offered by Apple Financing LLC, a subsidiary of Apple Inc. would be responsible for credit assessment and lending. While the company also plans to report Apple Pay Later loans to the U.S credit bureaus later this fall so users’ overall financial profiles are also duly recorded, encouraging responsible lending for both lender and borrower.
