by Apple on tuesday presented apple pay laterwhich will allow users to split purchases into four payments spread over the course of six weeks.
Say fell 6% on the news.
Apple Pay Later users will be able to manage, track and pay their loans in their Apple Wallet, the company said in a statement on Tuesday. People can apply for Apple Pay Later loans between $50 and $1,000 and use them for in-app and online purchases made through merchants that accept Apple Pay. Payments have no interest or commissions.
Mastercard’s fee program enables Apple Pay Later, so merchants that already accept Apple Pay won’t need to make any changes to roll out the software to their customers.
Users can apply for a loan within the Apple Wallet app without affecting their credit score, Apple said. Once they select the amount they would like to withdraw, a soft credit draw will take place to ensure they are in “a good financial position” to take out a loan, according to the statement.
Apple will invite select people to access a preview version of Apple Pay Later on Tuesday, and the company said it plans to expand access to all eligible users in the coming months.
Approved users will see a “Pay Later” option while using Apple Pay to pay online and in apps on iPhones and iPads. They will also be able to apply for a loan directly at checkout. Apple said that purchases using the software will be authenticated using Face ID, Touch ID or a passcode.
The company said users can see the amount due on their existing loans, as well as the total amount due in the next 30 days, in Apple Wallet. Users will be asked to link a debit card as the loan payment method. Credit cards will not be accepted.
