Amazon has partnered with Affirm to buy first now, pay later
Amazon starts buying now, please pay for space later.
The e-commerce giant has partnered with Affirm for the first payout option on a popular e-commerce site.
The two companies said in a statement that Affirm’s buy now and pay later options will be available to select Amazon customers in the United States starting Friday and will be more widely rolled out in the coming months. This partnership allows Amazon customers to split purchases of $ 50 or more into monthly installments.
The Affirm share price jumped 33% outside of Friday business hours.
Friday’s partnership is the latest sign of rapid growth in the credit space as young consumers turn to these alternative lines of credit. In early August, Square launched into this area with a $ 29 billion transaction to buy Australian FinTech Afterpay.
So-called installment loans have been around for decades and have historically been used for expensive furniture and other purchases. Online payment players and fintechs have been competing to launch their own âpay laterâ versions of products for online products at low prices of several hundred dollars.
Associated article: Notice Notice: When should I use a âbuy now, pay laterâ provider?
Affirm is one of the most well-known payout options. He works with over 12,000 merchants, including Peloton and Walmart.
PayPal, Klarna, Mastercard and Fiserv, American Express, Citi, and JP Morgan Chase all offer similar loan products. Bloomberg announced last month that Apple was planning to partner with Goldman Sachs to launch payouts.
Amazon and Afarm have not said whether the loans will bear interest.
âBy partnering with Amazon, Affirm brings the transparency, predictability and affordability that Affirm offers to millions of people shopping at Amazon.com in the United States today,â said Senior Sales Representative. of Affirm. Vice President Eric Morse said in a statement. .. âBy offering Affirm as an alternative to credit cards, we have even more payment options and flexibility than Amazon consumers want. “