Apple Pay Later being tested by employees, coming soon

AppleInsider

Apple has yet to provide any information regarding date that Apple Pay Later will launch, but Apple CEO Tim Cook said that it will be available soon.

Apple Pay Later may launch in iOS 16.4

Apple has posted its financial results on Thursday, and Cook briefly commented that the company still plans to launch Apple Pay Later, which would be part of its Services business.

"It will be launching soon," Cook confirmed on Thursday to CNBC.

The company introduced the financial service in 2022, which will be included in its payment platform that comprises Apple Pay and Apple Card. Apple Pay Later is a buy now, pay later that will allow users to split any Apple Pay purchase into four equal payments over six weeks with no additional interest or fees.

Users can choose to divide the amount when making an Apple Pay purchase. The amount and due date for each payment are specified on the purchasing page of a website.

Apple Wallet is used to manage payment plans. The functionality is also built into the Apple Pay platform, so various applications and services will already support it.

Since the announcement, however, the feature has been delayed. Apple may release Apple Pay Later in the iOS 16.4 software update, according to a report from September.

Apple has reportedly formed a subsidiary company to finance the lending for the Apple Pay Later service. Apple Financing LLC will be separate from the company's primary corporate entity.

Read on AppleInsider

Anilu_777

Users IN THE US! None of these programs are available anywhere else. You should write accordingly. 

netrox

Buy now, pay later is a nice convenience and no interest/fees but what happens if they default on paying? How do they make up for the loss? 

laytech

This isn't Apple as they are just getting on the same band wagon, but these pay now pay later schemes are just tools to encourage people to get into debt. I deplore them. 

You can argue why are they so different from credit cards. They are not really but its more debt people will get into. 

Ofer

laytech said:

This isn't Apple as they are just getting on the same band wagon, but these pay now pay later schemes are just tools to encourage people to get into debt. I deplore them. 

You can argue why are they so different from credit cards. They are not really but its more debt people will get into. 

 Different from credit cards in that there’s no predatory interest rates involved. But other than that, yeah, I agree with you. Encouraging people to go into debt over purchases is not good (with the exception of large milestone purchases like cars and homes).

JinTech

Ofer said:

laytech said:

This isn't Apple as they are just getting on the same band wagon, but these pay now pay later schemes are just tools to encourage people to get into debt. I deplore them. 

You can argue why are they so different from credit cards. They are not really but its more debt people will get into. 

 Different from credit cards in that there’s no predatory interest rates involved. But other than that, yeah, I agree with you. Encouraging people to go into debt over purchases is not good (with the exception of large milestone purchases like cars and homes).

I don't think that is the case for everyone. For me, I cannot afford big purchases all at once but I have the option to make several payments, that works. I have bad credit (not from my own choosing) so using the pay later works best for me.

beowulfschmidt

Ofer said:

laytech said:

This isn't Apple as they are just getting on the same band wagon, but these pay now pay later schemes are just tools to encourage people to get into debt. I deplore them. 

You can argue why are they so different from credit cards. They are not really but its more debt people will get into. 

 Different from credit cards in that there’s no predatory interest rates involved. But other than that, yeah, I agree with you. Encouraging people to go into debt over purchases is not good (with the exception of large milestone purchases like cars and homes).

Some of these BNPL and "X days same as cash" things do have an interest rate.  You just avoid paying it if you pay off the debt in time.  In addition, for many of them, if you don't pay it off by the contracted end date, you're charged interest on the entire balance (not just the unpaid balance) for the entire period.

JinTech

JP234 said:

JinTech said:

Ofer said:

laytech said:

This isn't Apple as they are just getting on the same band wagon, but these pay now pay later schemes are just tools to encourage people to get into debt. I deplore them. 

You can argue why are they so different from credit cards. They are not really but its more debt people will get into. 

 Different from credit cards in that there’s no predatory interest rates involved. But other than that, yeah, I agree with you. Encouraging people to go into debt over purchases is not good (with the exception of large milestone purchases like cars and homes).

I don't think that is the case for everyone. For me, I cannot afford big purchases all at once but I have the option to make several payments, that works. I have bad credit (not from my own choosing) so using the pay later works best for me.

If you can't afford big purchases all at once right now, why not just bank the money for 4 months and then buy it all at once?

They often have to do with creative projects, film gear. So I need them at the time of purchase rather in four months. What’s it matter? If the intended service works for me and I don’t take advantage of it by using it all the time. Plus it allows me to have more money in the bank for food, and other necessities. 

mike1

beowulfschmidt said:

Ofer said:

laytech said:

This isn't Apple as they are just getting on the same band wagon, but these pay now pay later schemes are just tools to encourage people to get into debt. I deplore them. 

You can argue why are they so different from credit cards. They are not really but its more debt people will get into. 

 Different from credit cards in that there’s no predatory interest rates involved. But other than that, yeah, I agree with you. Encouraging people to go into debt over purchases is not good (with the exception of large milestone purchases like cars and homes).

Some of these BNPL and "X days same as cash" things do have an interest rate.  You just avoid paying it if you pay off the debt in time.  In addition, for many of them, if you don't pay it off by the contracted end date, you're charged interest on the entire balance (not just the unpaid balance) for the entire period.

That's how every store's 0% interest for 12-months promotion works. Been like that for decades. You need to make minimum payments and if you don't pay it off in full within 12 months (or the promo period), your accrued interest is added to the remaining payments. It's a very useful feature for large purchases like appliances and furniture, but it takes self discipline to make sure you pay it off in that 12 months.

FileMakerFeller

My concern is that Apple is throwing its reputation behind a consumer debt scheme that has the potential to inflict severe financial damage onto an already stressed society.

Hopefully I'm worried about nothing.

macgui

Using a credit card is already a Buy Now, Pay Later ploy. Many of us users have carried a zero balance for decades. Two cards I once used canceled my accounts because they made no money off me.

To some people paying some interest in the Pay Later part is an acceptable cost for the Buy Now part or even necessary based on their financial situation. Others screw themselves for not fully understanding the risks of using credit nor the institutions that prey upon those users.

The Apple Card encourages payments to avoid paying interest and put more control in the hands of customers to make better decisions. Some people should never have credit cards. But for those of use who wield them responsibly Apple Pay Later is an interest free loan. It will mean giving up the 10% discount as does the current Apple monthly payment option. In some instances the will be an equitable trade.

Yes, this is a heinous and devious ploy by Apple to get those of us who shy away from purchasing an Apple product because of sticker shock to way Why The Hell Not. DAMN YOU APPLE for making it reasonable to buy expensive kit that we would have otherwise avoided or gone into debt for.

There are those that will argue that if you have the money to buy now, but chose to pay later interest free, that you are going into debt. For those of us who won't default because we don't, it's a quibble easily ignored.