U.S. technology giant Apple (AAPL) has launched a new buy now, pay later service that allows consumers to split purchases into four equal payments spread over a six-week period.
The new Apple Pay Later service enables users to manage, track and repay their loans in their digital Apple Wallet, the company said in a news release.
Individuals can apply for Apple Pay Later loans of between $50 U.S. and $1,000 U.S. and use them for in-app and online purchases. Payments made through the new service have no interest and no fees.
Merchants that already accept Apple Pay will not need to make any changes to implement the new buy now, pay later service, the company said.
Apple added that consumers can apply for a loan within the Apple Wallet app without it impacting their credit score.
The Silicon Valley-based company has invited a select group of people to access a pre-release version of Apple Pay Later, with plans to expand access to all consumers throughout this year.
Apple said purchases using the new pay later service will be authenticated using Face ID, Touch ID or a passcode.
Users will be asked to link a debit card as their loan repayment method. Credit cards cannot be used with Apple Pay Later.
Apple’s stock has decreased 12% in the past year and currently trades at $157.65 U.S. per share.
Tech Insider
