Affirm Review: Buy Now, Pay Later

Affirm Review: Features and Benefits

While Affirm is arguably the biggest player in the BNPL game, it's payment options are somewhat limited when compared to up-and-coming competitors. It's Pay in 4 option allows you to purchase items and pay for them in four equal and interest-free payments. Additionally, there are no transaction or service fees for using the app in this way.

Affirm's other payment option, its monthly payment plan allows you to pay for larger purchases through equal monthly payments spanning from three to 60 months. The monthly payment option does include paying interest on your purchase, much like how a credit card or personal loan works.

Affirm is available at thousands of vendors and merchants online and while shopping in-store. Affirm also offers a physical debit card that allows you to choose to buy now and pay later wherever Visa is accepted. The card links to your personal bank account.

• Two payment plans are available

• Use online or in-store

• No interest for the Pay in 4 payment option

• High spending limits in monthly payment plan option

• Soft credit inquiry only

• 60-month term borrowing is available

• No late fees

Affirm Review: Editorial Rating

Trusted Company Reviews Rating Score for Affirm: 8.5

Affirm scores well against our rating criteria, earning 8.5 out of 10 possible points. Its Pay in 4 payment option, limited to purchases of between $50 and $1,000, is handy for small purchases while avoiding interest and service fees.

That said, consumer reviews of the company and app offer less praise than many expert reviews. While Affirm offers several monthly plan term lengths, the interest rate it charges can be higher than you might pay with a typical credit card.

What We Like

Affirm's industry reach makes it highly useful for a wide range of customers buying a wide range of products. Other features we like include its completely interest-free installments for the Pay in 4 selection and the lack of any kind of service, transaction, or late fees. We also like that the company allows many monthly term options for larger purchases, acting more as an Affirm loan than a typical BNPL service.

What We Don't Like

On the negative side, we think Affirm might be a little overhyped. Customer reviews certainly agree that working with the company isn't a perfect relationship. Additionally, the potential for paying a lofty interest rate is concerning. That said, we like that Affirm will never perform a hard credit inquiry to approve or decline your eligibility.

A larger concern that we have regarding Affirm is the fact that it won't suspend or pause your account if you get behind on payments. While it charges no late fees, the practice can lead to overspending.

About Affirm Buy Now Pay Later

Affirm is available in the U.S., U.S. territories, and Canada. The Affirm app is a buy now, pay later platform that allows users to choose between its Pay in 4 option, which includes a 25% payment at checkout, followed by three equal, 25%, bi-weekly payments until the loan amount reaches zero.

Users can also choose the Monthly payment plan that includes no initial payment at checkout if they qualify for the entire loan amount. Affirm loans and dollar amounts for both options are determined when you make your purchase.

How Does Affirm BNPL Work?

Affirm users can simply download the app, input their personal information, including their Social Security Number, and, if approved after the soft inquiry, start using the features. When making a purchase, you can choose one of Affirm's two payment options. Your eligibility and the amount you can borrow are determined on a per-purchase basis. Affirm also offers a debit card option that's subject to similar agreements.

Pay in 4

Affirm's traditional buy now, pay later payment plan is its Pay in 4 option. It includes making a 25% deposit at the time of purchase and making three additional equal payments every two weeks for a total of four payments. There are no interest charges, transaction fees, late fees, or service fees of any kind associated with this selection.

Monthly Installments

Affirm's Monthly Payment option allows users to pay for their purchases over a longer time by making monthly payments instead of paying every two weeks. The option includes interest charges based on your creditworthiness, the type of purchase, and other factors. Affirm states that around 40% of borrowers end up paying no interest. There is no penalty for making early payments or paying off your loan early.

Affirm Review: Eligibility Requirements

Affirm uses only a soft credit inquiry to establish your borrowing eligibility and capacity. However, you must meet a few basic requirements to use the tool.

• Be at least 18 years old

• Be a U.S. citizen or permanent resident

• Have and supply your Social Security Number

• Have a valid U.S.-based text-capable phone number

Affirm Reviews

As an industry leader, Affirm gets high praise from many expert reviewers. However, customers aren't always as forgiving in their review reports. Accredited with the Better Business Bureau since 2020, Affirm holds an A+ grade with the organization for its responsiveness to customer complaints.

However, on the customer review platform Trustpilot, Affirm averages just 3.1 stars, which is well below the 4-star-plus ratings that many of its closest competitors get. Positive reviews often mention ease of use and kudos for the fee-free borrowing option. On the other hand, negative reviews frequently cite billing issues and inconsistencies regarding borrowing eligibility.

Who Affirm Is Best For

Because Affirm is so widely accepted among vendors and merchants, both online and in-store, it's a solid buy now, pay later option for nearly any customer type. Public review profiles include postings from young and old alike. Affirm's Pay in 4 option, which includes no added fees, is the most economical choice, especially for those trying to avoid potentially high interest rates.

Affirm Vs Afterpay

Affirm and Afterpay are close competitors. Both offer two distinct payment plan options, including Pay in 4 choices with no service or transaction fees and no interest. Both also offer a monthly payment plan option that charges potentially high interest but comes with no additional fees.

Where review scores are concerned, Afterpay is the clear winner, scoring 4.7 stars on Trustpilot, with 92% of respondents awarding the company five stars. Affirm earns just 3.1 stars on the platform, with just 68% awarding five stars.

However, Affirm beats out Afterpay when it comes to long-term borrowing options. Where Afterpay's monthly payment plan options include limitations, such as a $400 minimum and just six or 12 months to pay, Affirm offers term lengths of between three months and five years and only requires an initial purchase price of $50.

Other Apps Like Affirm

Affirm is arguably the most popular buy now, pay later app and platform in existence. However, its limited payment options and struggles with customer review scores often leave consumers looking for other apps like Affirm to meet their needs.

Here's a list of other BNPL providers we've reviewed to help you make an informed decision.

• Klarna review

• Afterpay review

• PayPal Pay Later review

• Zip review

• Sezzle review

Additionally, consumers can also choose from a range of other financing options, such as using one of the best credit cards for fair credit or pursuing a personal loan to make a large purchase or consolidate debt. Each option has various benefits.