In this piece, we will take a look at the top five buy now pay later (BNPL) companies in the U.S. For more companies, head on over to Top 15 Buy Now Pay Later (BNPL) Companies in the U.S.
5. Splitit
Highest APR Charged: 0%
Splitit is an interest-free BNPL service that works with a credit card and targets the education, services, car, jewelry, and other industries. The company offers up to 36 monthly installments, depending on retailer support, and you need to have a credit card to use the service. Splitit also does not require an application to work, and needs no credit checks since these have already been made by the credit card provider.
4. Deferit
Highest APR Charged: 0%
Deferit is an Australian BNPL that also provides services in several American states. The firm aims its services at letting users pay their bills for utilities, insurance, phone, power, healthcare, and others. While paying the bill upfront, it splits the payment for the user into four installments due every two weeks. Deferit also does not charge any interest, and its four installments feature is restricted in some U.S. states such as New Mexico, Indiana, and Idaho. It charges a 1.5% fee for cards, and a $14.99 subscription fee to support up to $2,000 in bills depending on the customer profile.
3. Flex
Highest APR Charged: 0%
Flex is an American BNPL firm that is headquartered in New York. It is primarily a rent payment company that offers users the option to split their monthly rent payments into two with the second half being financed by the company. The firm does not charge any interest rate on the payments; however, each half of the payment comes with a 0.75% processing fee. Additionally, Flex also charges $14.99 per month as a platform subscription fee.
2. Four
Highest APR Charged: 0%
Four provides users with the ability to make retail purchases of different items such as perfumes, tools, furniture, jewelry, apparel, and other products. It does not charge interest, but like other zero interest BNPLs, the company has late payment fees. Retailers that partner up with Four immediately receive their payment, while the customer has the option to pay later. For the first time a payment is missed, Four charges a $7 fee. An additional $8 is charged if the payment is still not made within a week. However, for users in California and Idaho, the company charges a single $10 fee for payments late by 10 days.
1. Zip
Highest APR Charged: 0%
Zip is an Australian BNPL that also offers its services in the U.S. The company offers a simple four installment plan that lets users pay off their purchases in four pieces. Zip is also one of the most widely recognized BNPLs out there, with big ticket platforms such as Amazon, Target, Sears, Zara, and Apple allowing support on their platforms. However, like other platforms, while Zip does not charge any interest, it does charge a $1 fee per payment. So a $100 purchase, paid in four installments ends up costing you $104. Additionally, it also has minimum payments and a $7 fee for late payments depending on the state in which the user is living in.
Disclosure: None. You can also take a peek at 14 Best Agriculture Stocks to Buy Now and 10 Best Tobacco Stocks To Buy.
