Apple announced two new features – Apple Pay Later and Apple Pay Order Tracking – coming to Wallet in iOS 16 (later in 2022). The Wallet app on iPhone and Apple Watch is where users can store ID cards, loyalty and reward cards, boarding passes, digital keys, vaccinations cards and either credit or debit cards to make secure, contactless payments via Apple Pay.Thank you for reading this post, don't forget to subscribe!
Accessible via the Wallet app or at checkout online or in-app, Apple Pay Later works the same way as other ‘Buy Now, Pay Later’ (BNPL) payment services such as AfterPay, Klarna, LatitudePay, PayPal 4-in-1, and Zip Pay. It currently only allows users in the US split the full cost of a purchase into four interest-free payments. Once the first one is done on the day of the purchase, the balance is required to be made within a period of six (6) weeks.
Apple says it is charging zero fees for this service; however, it is still uncertain if there will be a penalty fee for late payments. Users will also be able to view, keep track of purchases and payments, and make repayments within Wallet. The company has partnered with Shopify and other merchants to provide users with receipts, order tracking, and purchase information.
The company already accepts monthly installment payment for its own products from Apple Card users. Apple’s BNPL service has only been announced for the US market and that could be the case for a while, if the the Apple Card (US bank and applicants only) is any indicator. There is no official word as to whether the service will be coming to other countries and regions yet.