Affirm & Shopify partner to power Shop Pay Installments in the U.S.

Source: IBS Intelligence 2020-07-23

Affirm, providing significant disruptive innovation to the financial industry, has announced that the firm has partnered with Shopify to exclusively power Shopify’s Shop Pay Installments in the United States.

Under the partnership, Affirm’s buy now, pay later financing solution will be made available to eligible Shopify merchants in the U.S. who want to offer this flexible payment option to their customers. Approved Shop Pay customers will be able to split their total purchase amount into four equal, bi-weekly, interest-free payments at checkout. Affirm has ensured to stick with the company’s long-standing commitment to never charge late or hidden fees, and announced that customers will not be charged any additional fees.

“With the acceleration of online spending, many small businesses must reinvent themselves. This includes embracing the rising importance of e-commerce strategies and meeting consumers, particularly young shoppers, where they are. By partnering with Shopify, the gold standard of commerce platforms for businesses that want to sell direct-to-consumers, we can help merchants seamlessly enable a pay-over-time option at checkout. In doing so, we’re helping them reach new customers, particularly Gen Z and Millennials, who are looking for more transparent and flexible ways to pay,” said Max Levchin, Founder and CEO of Affirm.

U.S. Shopify merchants, who elect to offer Shop Pay Installments to their customers will not have to worry about collecting future payments from customers. Affirm will handle payment collection and merchants will receive the full purchase amount.

“It’s critical for businesses to make it easy for their customers to buy from them. Shop Pay Installments helps our merchants offer their customers more payment choice and flexibility, while delivering a seamless checkout experience to boost conversion and overall sales. We’re looking forward to partnering with Affirm to bring this powerful pay-over-time payment option to our merchants and their customers in the U.S., unlocking their ability to succeed and grow their businesses,” said Kaz Nejatian, VP and GM of Shopify’s Financial Solutions Team.

The companies are planning to begin testing in the coming months with Shop Pay Installments expected to be made available to eligible U.S. merchants starting later this year.

5 American FinTechs transforming the digital payments landscape.

Founded in 2012 San Francisco-based Affirm offers a more transparent, flexible alternative to credit cards. The company operates as a financial lender of installment loans for consumers to use at the point of sale to finance a purchase.

Affirm

Shopify

Affirm & Shopify partner to power Shop Pay Installments in the U.S.

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