Apple Suspends 'Apple Pay Later' Feature
TapTechNews June 18th news, Apple announced the suspension of the installment payment feature Apple Pay Later just launched last October. However, existing users with Apple Pay Later loans can still make repayments and manage through the Wallet App.
In a statement provided to 9to5Mac, Apple stated that it will suspend this feature, but will allow users to enjoy installment payment services provided by credit cards and debit cards through the upcoming Apple Pay update this fall. It was mentioned in the statement: With the launch of this brand-new global installment loan service, we will no longer offer the 'Apple Pay Later' service in the US. We have always been committed to providing users with convenient, safe and private payment choices through Apple Pay, and this new solution will enable us to work with partner banks and lenders to provide flexible payment methods for more users in more places around the world.
That is to say, Apple will work with existing partner banks and lenders to launch a new global installment loan service in the fall to replace the Apple Pay Later feature. At that time, when users use Apple Pay to pay, they will be able to directly enjoy installment payment services through their credit cards, debit cards or other lenders.
According to TapTechNews's understanding, the Apple Pay Later service was officially launched in the US in October last year, but before that, the service had been in the testing stage since March 2023. Users can split the shopping amount using Apple Pay into four installments and repay it interest-free and fee-free within six weeks through the Wallet application. This service is only applicable to Apple Pay payments on iOS devices, and the commodity price is limited to between 75 US dollars and 1000 US dollars. Each shopping requires a separate loan application and approval.
Apple did not disclose the reason for suspending Apple Pay Later, but is currently dissolving the partnership with Goldman Sachs. Goldman Sachs is the partner handling the Apple Card credit card, the Apple savings account, and the Apple Pay Later service. With the termination of the Apple Pay Later service, Apple no longer needs to find future partners for this feature.
The upcoming iOS 18 system will allow users to directly enjoy installment loan services through partner banks when using Apple Pay. In addition, Apple Pay will also add the ability to view the reward or points balance in the Wallet App and allow users to directly use these points for deduction when shopping.