Apple intends to launch a new installment payment service – the famous “Buy now, Pay later”. The name of the new service would be “Apple Pay Later”. The news was disclosed by the Bloomberg website and cites sources familiar with the matter. Even without confirmation from the company, Apple‘s shares rose 2% on Wednesday.
The new service would not be tied to the Apple Card and would not require consumers to make one, however, the installment system could be a great incentive to use Apple Pay for payments instead of credit cards. It is worth noting that Apple is paid a percentage of the transactions made with Apple Pay.
According to the sources heard by Bloomberg, “Apple Pay Later” will give the option to pay in four interest-free installments, with biweekly payments, or in more installments, but with interest.
Apple already offers installment payments for purchases made with the Apple Card (Apple Card Monthly Installments), but the option is only available for purchases of Apple products. The new service should be available for any purchase, made in physical stores and online, with Apple Pay.
So far, neither Apple nor Goldman Sachs have officially commented on the matter.