CUPERTINO, Calif.–After launching the service with much fanfare---and raising worries in credit unions—Apple has announced that it is longer be offering BNPL financing through its Apple Pay Later offering, which was launched in 2023.
The change has already gone into effect, with Apple saying users with open Apple Pay Later loans will still be able to manage them via the Wallet app, according to 9to5Mac.com.
In its place, 9to5Mac.com said Apple is focusing on new features coming globally to Apple Pay later this year, including the ability to access installment loan offerings from eligible credit or debit cards, as well as Affirm.
Apple Issues Statement
In a statement to 9to5Mac, Apple said. “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. With the introduction of this new global installment loan offering, we will no longer offer Apple Pay Later in the U.S. Our focus continues to be on providing our users with access to easy, secure and private payment options with Apple Pay, and this solution will enable us to bring flexible payments to more users, in more places across the globe, in collaboration with Apple Pay enabled banks and lenders.”
Apple’s BNPL platform had allowed users to apply for a loan ranging from $50 to $1,000 and split that purchase into four equal payments across six weeks, with no fees or interest, noted 9to5Mac.com.
Expansion to Other Countries
“Apple emphasizes in its statement that its focus is on the new installment loan features coming to Apple Pay later this year,” the report stated. “These features will be available in multiple countries around the world. Apple Pay Later, meanwhile, was only ever available in the United States.”
Loans offered through Apple Pay Later were backed by Apple itself, while Goldman Sachs was the issuer of the Mastercard payment credential used for purchases.