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Apple Discontinues The Pay Later Financing Program

Apple Discontinues The Pay Later Financing Program
Apple, which just introduced its in-house purchase now, pay later programme last year, is abandoning it in the US. According to the digital behemoth, it will now provide payment plans to consumers via independent credit and debit card lenders.
Current borrowers will still be able to use Apple Wallet to manage their payments. With this move, Apple has abandoned its ambitions to provide conventional financial services.
Users using Apple Pay Later in the US may divide the cost of goods up to $1,000 into four interest-free installments spread out over a period of six weeks. With this concept, Apple entered the financial services market by essentially lending money to consumers rather than relying on banks and other traditional lenders.
The loans were issued by the business through Apple Financing, a new subsidiary. It happened when US interest rates were almost zero, which greatly increased the appeal of both borrowing. However, these schemes lost attractiveness when central banks raised interest rates to combat growing costs.
Apple said this week at its annual developer conference that it will be collaborating with banks to provide choices for installment payments. These banks include Citi in the US, HSBC in the UK, and ANZ in Australia.
Its future iOS 18 operating system, which is anticipated to be launched later this year, will have the additional payment alternatives.

Christopher J. Mitchell

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