Top Buy Now, Pay Later Apps

What Is Buy Now, Pay Later?

Buy now pay later (BNPL) is short-term financing for smaller purchases. This type of lending gives consumers the ability to break up a purchase into smaller payments over a short duration of time, such as four equal payments. There are typically few fees involved, provided that consumers make their payments on time.

BNPL doesn’t trigger a hard credit inquiry, which can be helpful for consumers with less-than-perfect credit.

How BNPL Works

Here’s the standard process consumers follow to use BNPL for purchases:

• Select an item to purchase online or in-store.

• Choose a BNPL provider at checkout (e.g., Affirm, Klarna, Afterpay).

• Create or log into an account with the BNPL provider.

• Link a payment method — usually a debit card, bank account, or sometimes a credit card.

• Undergo a quick approval check, often a soft credit check or instant eligibility assessment.

• Review the payment plan, including number of installments, due dates, and any fees.

• Confirm the purchase, and the BNPL provider pays the merchant upfront.

• Receive the product immediately while payments are scheduled automatically.

• Make installment payments over time, typically every two weeks or monthly.

• Monitor upcoming payments in the provider’s app to avoid late fees.

Who are Buy Now, Pay Later Apps best for?

Buy now pay later apps can work well for consumers who need financial flexibility on paying for purchases. However, consumers who struggle with meeting their monthly obligations could get caught in a cycle of debt payments.

Is Buy Now, Pay Later Worth It?

BNPL is a financial lifeline if you’re in a pinch. It gives you flexibility to make payments over time, and you can potentially use it with little to no cost if you repay on time.

However, it's important to understand the terms and conditions for the BNPL provider you choose. Service, transaction, late payment, and payment rescheduling fees can add up quickly, depending on how you use the service.

How to Qualify for BNPL

Qualifying for Buy Now, Pay Later can be easier than getting approved for traditional credit.

Most BNPL apps have the following requirements:

• Be at least 18 years old

• Have a valid phone number and email address

• Link a debit card, credit card, or bank account for payments.

BNPL apps look for signs that the shopper can make payments on time, such as a history of successful BNPL repayments or a stable payment method. While limits vary, first-time users may receive smaller spending amounts that can increase with consistent, on-time payments.

Do buy now, pay later apps really help you save money?

Buy now, pay later apps don’t help consumers save money. However, it gives flexibility to those who need it when making purchases.
When using BNPL apps, it’s essential to incorporate the payments you need to make in your monthly budget to avoid paying significant fees.

How do buy now, pay later apps actually work?

Buy now, pay later apps work by giving consumers short-term loans to make purchases, and they repay over time. BNPL works by linking the BNPL provider to your debit card. You make eligible purchases, and then the BNPL provider takes out payments over time to pay the loan back in full.

Each BNPL provider works slightly differently, so be sure to look into the details of each one before signing up.

Do I need good credit to use a BNPL app?

No, you don’t need good credit to use a BNPL app. BNPL providers may use a soft credit check. Using BNPL can potentially help your credit score if the app you select reports your repayments to credit agencies.

If your credit is negatively affected by looming debt, debt consolidation may be worth looking into.

Can I use buy now, pay later for groceries or gas?

Yes, you can use buy now, pay later for groceries and gas. However, those purchases have to be made at retailers that accept BNPL apps as a payment option.

As an option, you can consider earning perks using a cash-back credit card. Just be sure to pay off the balance each month to avoid interest costs.

How do I get approved for buy now, pay later?

Getting approved for Buy Now, Pay Later (BNPL) can be easier than qualifying for traditional credit. BNPL apps look for a stable income source, a history of on-time payments, and no major delinquencies. Many providers only use a soft credit check, which doesn’t affect your score.

The approval process is typically quick, so you can complete your purchase without waiting more than a few seconds.

What is the best buy now, pay later app?

Affirm takes the top spot in our research based on our evaluation criteria. The app offers two payment plan options, one of which features no interest charges. With high set spending limits being another attractive feature, we found that Affirm better meets the needs of most BNPL consumers than its competitors.

However, everyone's needs are different, especially when it comes to money and making payments. Check out all of the options on our list before determining which is best for you. You can also check out our review of the best personal loan providers for larger purchases or debt consolidation solutions.

Affirm

Trusted Company Reviews Rating Score for Affirm: 8.5

Review

Affirm tops our list of best BNPL app as its approval process is quick and accessible to a wide range of shoppers. Interest rates can vary widely depending on the merchant and your creditworthiness, so it’s important to read the terms carefully.

There are no hidden fees or surprise charges, which sets it apart from some other financing options. The mobile app is clean, intuitive, and makes tracking payments simple, while reminders help avoid missed payments. Overall, Affirm is a solid option for anyone looking for short-term financing without the complexities of traditional credit cards.

About

Affirm is a “buy now, pay later” service that lets shoppers split purchases into interest-free or interest-bearing installments. It’s easy to use, with a quick approval process and no hidden fees, and payments are tracked through a simple mobile app. While convenient for budgeting, interest rates vary, so it’s important to check terms before using it for larger purchases.

Features and Benefits

• Widely accepted

• Two payment plans available

• No interest payments with the Pay in 4 payment option

• High spending limits

• No late fees

Why We Chose

We chose Affirm at the top of our list as it’s widely accepted by major retailers, it’s reliability as one of the top BNPL providers, and its ease of use.

Pros and Cons

Pros

• Lets you split purchases into manageable installments

• No hidden fees or surprise charges

• Transparent terms and easy-to-use mobile app

• Can help budget for big-ticket items

Cons

• Interest rates can be high for some users and purchases

• Missed payments can negatively affect your credit score

• Long-term use may make budgeting more complicated

Read Full Review

Klarna

Trusted Company Reviews Rating Score for Klarna: 8.3

Review

Klarna is available in 26 countries worldwide. You'll need the app specific to the country you're shopping in, but it's nice to have the option. The company earns 4.4 stars on Trustpilot. We like that Klarna offers four payment options, three of which have no interest payments.

About

Among Klarna's four payment options, its Pay in 30 Days option provides consumers the ability to pay nothing upfront and simply pay for their purchase sometime in the next month or so. Klarna sets no spending limits for consumers and doesn't charge any service fees for paying your balance with a credit card.

Features and Benefits

• Four payment plans are available

• Use online or in stores

• Avoid interest payments with 3 of the 4 plans

• No set spending limits

• Soft credit inquiry only for most uses

• 24-month term borrowing is available

Why We Chose

Klarna's unique Pay in Full option intrigued our researchers. After reviewing the plan, it stood out among the competition. Its additional payment option, the Pay in Full selection, allows consumers to use the app to make purchases without any further payments.

Pros and Cons

Pros

• Interest-free payments available

• Available in several countries

• Earn cash-back rewards for purchases

• Highly rated app

Cons

• Pre-paid credit cards not accepted for payments

• Unavailable in New Mexico and Hawaii

• Payment rescheduling isn't available

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PayPal Pay Later

Trusted Company Reviews Rating Score for PayPal: 8.3

Review

PayPal is a legacy financial services company providing a long list of useful financial tools including and beyond its buy now, pay later purchasing options. While its Pay in 4 payment option is pretty standard, customers who choose PayPal's long-term financing can enjoy numerous term-length options, including 3, 6, 12, or 24 months.

About

PayPal offers multiple financial tools for various customers. It's buy now, pay later plan features no fees, including for making late payments. However, both the Pay in 4 selection and the Pay Monthly option are only available for online purchases.

Features and Benefits

• Pay in 4 and monthly payment options available

• Pay no fees ever other than interest on long-term borrowing

• Use for online shopping only

• Pay no interest in Pay in 4 plan

Why We Chose

There are several BNPL providers that offer more payment options and the ability to shop in-store as well as online. PayPal impressed us and our rating criteria with its multiple payment term length options, which can extend up to two years for a single purchase.

Pros and Cons

Pros

• Easily accessible if you have a PayPal account

• No fees, no late fees

• Excellent purchase protection

• Widely accepted

Cons

• For online purchases only

• Use limitations in some states

• No grace period or payment rescheduling available

• Cannot use a credit card for monthly payment plan option

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Sezzle

Trusted Company Reviews Rating Score for Sezzle: 8.2

Review

Sezzle tops our list by providing the most useful services to the most consumers, based on our rating criteria. The company earns an average of 4.0 stars from Trustpilot reviewers, with 85% of the listings awarding five stars. Our favorite feature about Sezzle is that it reports your positive payment history to credit bureaus on request.

About

Sezzle offers three payment options, including its Pay in 4 and Pay in 2, which include no interest rates or other fees for many purchases. A small transaction fee, however, will apply for some purchases at some vendors.

Sezzle offers up to a $15,000 spending limit without requiring a hard pull on your credit report. Customers who wish to pay monthly will need to have a formal credit inquiry to obtain approval for the Pay Monthly plan. However, if approved, those with excellent credit scores can enjoy a potentially low interest rate on their purchase.

Features and Benefits

• Three payment plans available

• Avoid interest payments with 2 of the 3 plans

• $15,000 maximum spending limit, based on several factors

• No hard credit check needed to apply for use

• Long-term borrowing is available

• Interest rates as low as 5.99% with excellent credit

Why We Chose

We chose Sezzle partially for its unique Pay in 2 plan, which requires a 50% down payment and just a single payment two weeks later. The option can work well for consumers making small purchases with the app. While fees apply to some purchases, we found them to be in line with what most other providers offer.

Pros and Cons

Pros

• Interest-free borrowing for most payment plans

• Can choose to have your payment history reported to credit bureaus

• Several payment methods are available

• Long-term, monthly-payment borrowing available

Cons

• Multiple fees require awareness to avoid

• Convenience and origination fees often apply to purchases

• Smaller network of member retailers than other BNPL platforms

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Afterpay

Trusted Company Reviews Rating Score for Afterpay: 7.8

Review

Afterpay earns a whopping 4.7 stars on Trustpilot. While the company only offers two payment options, you'll never have to deal with a transaction or service fee to make a purchase at in-network retailers. However, the company's long-term borrowing option is a little limited, with just six and 12-month terms available.

About

Afterpay's unique features include no service or transaction fees, an available autopay function, a variable spending limit that can increase with consistent on-time payments, and the ability to reschedule up to three payments per year without paying a penalty. Afterpay also offers a paid membership to eliminate service fees associated with shopping at out-of-network vendors.

Features and Benefits

• Pay in 4 and monthly payment options available

• Pay no upfront transaction fees

• Use online or in stores

• Reschedule up to three payments per year by one week

• No interest on Pay in 4 plan

• Spending limit can increase over time

Why We Chose

Afterpay makes our list because of its incredibly high customer review scores. While the company may not provide as many payment options as other BNPL apps, and its network is somewhat limited in comparison, its customers are generally happy with the service it provides.

Pros and Cons

Pros

• BBB accredited

• No hard credit checks, even for long-term financing

• Limited payment rescheduling is available

• Highly rated company and app

Cons

• Low initial spending limit of $600

• High interest rate of 35.99% possible with long-term financing option

• Monthly payment option not available in all states

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