As detailed in a post on Apple’s Newsroom, the new feature lets users choose the option to split payments that total $50 to $1,000 into four over the course of six weeks. It can be used for online or in-app purchases with retailers who accept Apple Pay across both iPhone and iPad, and will be available for select users before being made eligible to all eligible users later down the line.
“There’s no one-size-fits-all approach when it comes to how people manage their finances. Many people are looking for flexible payment options, which is why we’re excited to provide our users with Apple Pay Later,” said Apple’s vice president of Apple Pay and Apple Wallet, Jennifer Bailey. “Apple Pay Later was designed with our users’ financial health in mind, so it has no fees and no interest, and can be used and managed within Wallet, making it easier for consumers to make informed and responsible borrowing decisions.”
The option comes with no interest or extra fees on purchases, and users can apply for the loans within the Apple Wallet app. Those eligible for the service will be able to see a list of their existing loans, including details of the amount due within the next 30 days.
Credit cards are not accepted, and users will need to link a debit card to repay the loans, which will be taken automatically in the three installments that follow the initial purchase.