Apple to Launch Postpaid Payment Service via Apple Pay

Collaboration with Goldman Sachs
Direct Hit to Buy Now Pay Later Platforms Affirm and PayPal

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Kwon Jae-hee] Apple is partnering with Goldman Sachs to launch a buy now, pay later service on its payment platform Apple Pay. With Apple entering this market, which has been popularized by payment platforms like Affirm and PayPal, competition is expected to intensify.

According to Bloomberg News on the 13th (local time), citing sources familiar with the matter, the upcoming buy now, pay later service from Apple will be called "Apple Pay Later," with Goldman Sachs serving as the lending bank.

Bloomberg predicted, "If a buy now, pay later service is introduced on Apple Pay, more users are likely to choose it over credit cards or other payment platforms."

Since Apple takes a certain percentage of fees every time a transaction is made through Apple Pay, this is expected to have a positive impact on Apple's profits as well.

This service offers two options when purchasing items via Apple Pay on Apple devices: a no-interest option called "Apple Pay in Four," which allows payment in four installments every two weeks, and an installment option called "Apple Pay Monthly Installments," which allows payment over several months with interest. Both options are available online and offline.

However, the exact interest rates to be applied have not been disclosed.

Following this news, the stock prices of buy now, pay later platforms Affirm and PayPal fell by 13% and 1.4%, respectively.

This content was produced with the assistance of AI translation services.