PayPal allows you to split the cost of purchases for up to 24 months

PayPal is adding more buy now, pay later alternatives with a longer-term finance option. Users have been able to cover the expense of an item over several interest-free payments, and they may also utilize credit cards. WebBank's Pay Monthly is another alternative for consumers in the United States.

It's only good for purchases up to $10,000. The cost will be spread out over six to 24 monthly installments. If you go with the Pay Monthly plan at checkout, you'll have to fill out an application. You may pick from three payment options with varying timeframes if your application is accepted. APR was calculated on a risk basis and ranges from zero to 29.99 percent. The first payment is due a month after purchase.

You may set up automatic payments from your debit card or bank account. Customers who do not have access to the PayPal app can also make payments through website. There are no late fees, as with the company's other buy now, pay later choices. Pay Monthly will be supported by millions of merchants, including Samsonite, Fossil and Advance Auto, according to PayPal. Purchases will be protected by PayPal Purchase Protection.

PayPal's newest feature, Pay in 4, is taking the lead of Apple Pay Later, which will be available as part of iOS 16 later this year. That's more comparable to PayPal's Pay in 4 plan, in that customers will make four equal payments over six weeks with no interest or late fees. Purchases, on the other hand, are limited to $1,000 per transaction.

PayPal, Apple, and Square are just a few of the companies that have begun to venture into lending in recent months. This is further evidence of a larger movement by prominent IT firms into banking, which was previously the preserve of banks. There are, however, risks associated with utilizing now-pay-later services, particularly if customers fall behind on their payments.