Apple has announced the integration of Klarna, a buy now, pay later (BNPL) service, into Apple Pay. This comes several months after the company discontinued its own BNPL service, Pay Later, within ten months of launch, which was launched in 2023.
Klarna lets users to purchase products in four interest-free installments. The integration is part of the iOS 18 and iPadOS 18 updates, which also has the addition of another BNPL service, Affirm, introduced in September.
While BNPL services are gaining popularity, some surveys suggest they may contribute to overspending, as per The Verge. These loans are often not reported to credit bureaus, making them challenging to track.
Alongside the BNPL integration, Apple has introduced other updates to its payment service:
1. Apple Pay is now available on third-party desktop browsers like Chrome. (and Androids?)
2. A new “Tap to Provision” lets users add new cards by tapping them on the back of their iPhone.
Consumers are advised to use BNPL services responsibly, considering the potential risks associated with easy credit access.