Kiah TreeceLoans Writer
Kiah Treece is a small business owner and personal finance expert with experience in loans, business and personal finance, insurance and real estate. Her focus is on demystifying debt to help individuals and business owners take control of their finances. She has also been featured by Investopedia, Los Angeles Times, Money.com and other financial publications.
Kiah Treece
Kiah TreeceLoans Writer
Kiah Treece is a small business owner and personal finance expert with experience in loans, business and personal finance, insurance and real estate. Her focus is on demystifying debt to help individuals and business owners take control of their finances. She has also been featured by Investopedia, Los Angeles Times, Money.com and other financial publications.
Loans Writer
Jordan TarverLead Editor, Mortgages & Loans
Jordan Tarver has spent seven years covering mortgage, personal loan and business loan content for leading financial publications such as Forbes Advisor. He blends knowledge from his bachelor's degree in business finance, his experience as a top performer in the mortgage industry and his entrepreneurial success to simplify complex financial topics. Jordan aims to make mortgages and loans understandable.
Reviewed
Jordan Tarver
Jordan TarverLead Editor, Mortgages & Loans
Jordan Tarver has spent seven years covering mortgage, personal loan and business loan content for leading financial publications such as Forbes Advisor. He blends knowledge from his bachelor's degree in business finance, his experience as a top performer in the mortgage industry and his entrepreneurial success to simplify complex financial topics. Jordan aims to make mortgages and loans understandable.
Lead Editor, Mortgages & Loans
Reviewed
Updated: Apr 1, 2024, 2:02pm
Editorial Note: We earn a commission from partner links on Forbes Advisor. Commissions do not affect our editors' opinions or evaluations.
Buy now, pay later (BNPL) apps can help consumers finance everyday purchases like clothing, gifts and home decor without extensive applications and high interest rates. These apps allow users to purchase items immediately while paying in installments instead of making one full payment upfront. This can make budgeting easier by allowing consumers to spread out their payments over time while still getting access to their desired items immediately.
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Best Buy Now, Pay Later Apps 2024
Best Overall BNPL App
Klarna
4.5
Our star ratings are based on a range of criteria and are determined solely by our editorial team. See our methodology for more information.
Interest rates
0% to 29.99%
Credit limit
Varies
Fees
Late fees up to $35
0% to 29.99%
Varies
Late fees up to $35
Editor's Take
Klarna stands out among BNPL apps because of its no-interest financing and accessible qualification requirements. The app is also widely available, making it a flexible option for a range of purchases.
Pros & Cons
- Offers no-interest financing
- Limited qualification requirements
- Available with several top retailers
- Late fees
- Small loan amounts
- Does not report payments to credit bureaus
Extra Details
Klarna is one of the most well-known BNPL apps and is available through numerous top retailers. The company imposes less robust qualification requirements than some financing alternatives, and borrowers can choose from three repayment options, which is more than available with most BNPL apps.
Borrowers can choose from Pay in 4 (four interest-free payments every two weeks), Pay in 30 days and monthly financing up to 36 months. The four- and 30-day financing options charge no interest or fees, with the exception of late fees. However, monthly financing charges interest that may extend above 20%. Pay in 4 doesn’t require a hard credit inquiry.
As with other BNPL apps, keep in mind that Klarna can encourage consumers to buy more than they can afford to pay off—and may lead to a cycle of borrowing.
Best for No Credit Check
Splitit
4.5
Our star ratings are based on a range of criteria and are determined solely by our editorial team. See our methodology for more information.
Interest
None
Credit limit
Varies
Fees
None
None
Varies
None
Editor's Take
Borrowers with poor or limited credit can take advantage of Splitit’s financing without completing an application process or undergoing a credit check.
Pros & Cons
- No application process
- No credit check
- No interest or fees
- Does not accept debit card payments
- Merchants are limited
- Credit card issuer may charge fees and interest
Extra Details
Splitit is a white-label BNPL app that online retailers can use to simplify financing for their customers. Instead of creating a new loan for a purchase, Splitit lets consumers split a purchase over two to 24 payments using their current credit cards. The platform charges the first installment to the borrower’s card after purchase authorization or shipping and then charges the card every month until the end of the payment plan.
Splitit relies on a customer’s existing credit accounts, so there’s no credit inquiry or application process. Moreover, the average order for Splitit customers is over $1,000, making it a popular option for large purchases. Overall, Splitit is a streamlined option that can help borrowers with less-than-stellar credit.
Best for Large Purchases
Affirm
4.0
Our star ratings are based on a range of criteria and are determined solely by our editorial team. See our methodology for more information.
Interest rates
0% or 10% to 36%
Credit limit
$50 to $25,000
Fees
None
0% or 10% to 36%
$50 to $25,000
None
Editor's Take
Affirm offers high financing limits and is available at a wide range of retailers, which makes the platform a convenient option for large purchases.
Pros & Cons
- No-fee and zero-interest loans available
- Widespread availability
- May report to credit bureaus
- Some payment plans involve interest
- No way to reschedule payments
- No customer service phone number
Extra Details
Affirm is another popular and well-known BNPL app available at thousands of online and in-store retailers. Borrowing limits range from $50 to $25,000, making it a good option for large purchases. The platform offers prequalification without a hard credit check, and borrowers can choose from two payment plans: Pay in 4 or monthly payments.
The Pay in 4 option doesn’t charge any interest or fees, and Affirm doesn’t require a hard credit inquiry for qualification. The platform doesn’t charge any hidden fees under the monthly payment structure. However, annual percentage rates (APRs) may be 0% or between 10% and 36%, based on borrower creditworthiness. Borrowers can also request a virtual card through the Affirm app—increasing flexibility and streamlining the borrowing process.
Best for Small Purchases
PayPal Pay in 4
3.5
Our star ratings are based on a range of criteria and are determined solely by our editorial team. See our methodology for more information.
Interest rates
None
Credit limit
$1,500 ($10,000 with Pay Monthly)
Fees
None
None
$1,500 ($10,000 with Pay Monthly)
None
Editor's Take
PayPal Pay in 4 helps consumers finance purchases starting at just $30 and up to $1,500 with no late fees.
Pros & Cons
- No late fees
- Offers two payment structures
- Available with top brands
- Purchases limited to $1,500
- Pay monthly option has APRs up to 29.99%
- Only available for online shopping
Extra Details
PayPal Pay in 4 lets shoppers finance purchases as small as $30. Financing amounts are limited to $1,500, but consumers can shop with a wide selection of brands. Borrowers get to split their purchases into four interest-free installments, including one down payment and bi-weekly payments with zero late fees.
PayPal also offers a monthly payment option with six-, 12- or 24-month payment plans with $0 down. The financing amounts for monthly payments are higher—$199 to $10,000—and APRs range from 0% to 29.99%. Customers also benefit from PayPal’s standard purchase protection.
Best for First-time BNPL Shoppers
Afterpay
3.5
Our star ratings are based on a range of criteria and are determined solely by our editorial team. See our methodology for more information.
Interest rates
None
Credit limit
Varies
Fees
Up to 25% of the order value
None
Varies
Up to 25% of the order value
Editor's Take
Afterpay offers several features that make it easier for first-time BNPL shoppers to make smart financing decisions.
Pros & Cons
- No interest on purchases
- Only requires soft credit check
- Offers online and in-store financing
- Charges late fees
- Limited financing options
- Doesn’t help consumers build credit
Extra Details
Afterpay offers convenient financing at a large selection of online and in-store retailers. An application process and soft credit check are required, but borrowers don’t have to undergo a hard credit inquiry to qualify. This ease of use makes Afterpay suitable for shoppers using a BNPL app for the first time.
What’s more, Afterpay puts several safeguards in place to protect consumers from overspending—including notifications for missed payments. The platform also doesn’t report late payments to credit bureaus. As with many other top BNPL apps, Afterpay does not charge any interest on purchases, though borrowers may incur late fees.
Summary: Best Buy Now, Pay Later Apps
| Company | Company - Logo | Forbes Advisor Rating | Forbes Advisor Rating | Interest rates | Credit limit | Fees | Learn More CTA text | Learn more CTA below text | Learn More |
|---|---|---|---|---|---|---|---|---|---|
| Klarna |  | 4.5 |  | 0% to 29.99% | Varies | Late fees up to $35 | View More | ||
| Splitit |  | 4.5 | | None | Varies | None | View More | ||
| Affirm |  | 4.0 |  | 0% or 10% to 36% | $50 to $25,000 | None | View More | ||
| PayPal Pay in 4 |  | 3.5 |  | None | $1,500 ($10,000 with Pay Monthly) | None | View More | ||
| Afterpay |  | 3.5 | | None | Varies | Up to 25% of the order value | View More |
Tips to Compare Buy Now, Pay Later Apps
When it comes to BNPL services, it’s essential to compare the features and benefits of each app or service. Here are some tips for comparing BNPL apps:
- Check fees. Many BNPL apps charge fees, such as late fees or interest rates. Be sure to read through the terms and conditions of each app carefully so you know exactly what you’re getting into.
- Read user reviews. Before signing up for a BNPL service, be sure to read user reviews and feedback from others who have used the app in the past. This will help give you an idea of how reliable the app is and how satisfied customers are with their service.
- Consider your needs. Each BNPL service has its own unique features and benefits that may or may not fit your needs—including financing limits. Be sure to carefully consider the features of each app before signing up, so you know you’re getting the best deal.
- Compare payment plans. Many BNPL services offer different payment plans to suit different budgets and lifestyles. Be sure to compare the payment plans of each app so you can choose the one that fits your financial situation best.
What Is Buy Now, Pay Later?
Buy now, pay later is a type of payment service that allows consumers to purchase items and then pay for them in increments over time. This type of service usually offers more affordable payments than traditional credit cards or personal loans, making it a popular choice for those who want to shop without having to worry about high interest rates.
Some BNPL services also offer promotional codes and discounts that can help you save even more money on your purchases.
How Does Buy Now, Pay Later Work?
When you sign up for a BNPL service, you’ll be asked to provide your payment details. Once approved, you can start making purchases right away, and the platform will spread out the cost of the items over several payments. Depending on the BNPL service you use, you may have to make weekly, bi-weekly or monthly payments until the balance is paid off.
It’s important to note that some BNPL services may require a credit check before approving your application. Be sure to read through all of the terms and conditions before signing up so you know what’s expected of you.
When Should You Use Buy Now, Pay Later?
Ideally, you should only use BNPL apps in emergencies and to cover necessary expenses. This is because these apps may come with high interest rates and fees, and they can lead to a habit of overspending. What’s more, many BNPL apps don’t report payments to the three main credit bureaus, making it difficult for borrowers to build their credit.
That said, low-credit borrowers without the cash to make a necessary or emergency purchase can benefit from this form of financing. Qualified consumers should also consider an alternative like a 0% APR credit card with more substantial consumer protections than buy now, pay later apps.
Methodology
We reviewed eight popular BNPL providers based on 11 data points in the categories of loan details, loan costs, perks, customer experience and accessibility. We chose the best lenders based on the weighting assigned to each category:
- Loan cost: 30%
- Loan details: 25%
- Accessibility: 20%
- Perks: 15%
- Customer experience: 10%
Within each major category, we also considered several characteristics, including available loan amounts, repayment terms, interest and applicable fees. We evaluated each provider’s customer support tools, borrower perks and features that simplify the borrowing process.
Where appropriate, we awarded partial points depending on how well a lender met each criterion.
To learn more about how Forbes Advisor rates lenders, and our editorial process, check out our .
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