NEWS  Apple  June 18, 2024  Reading time: 2 Minute(s)

Max (RS editor)

In June 2023, Apple unveiled a promising addition to its suite of financial services: Apple Pay Later. Positioned as a hassle-free method for consumers to split payments into interest-free installments, the service garnered attention and anticipation among iOS users.

Originally slated for release alongside iOS 16 in fall 2022, technical challenges delayed its debut, leading to a staggered rollout starting with a limited "prerelease version" in March 2023, exclusively available to a subset of US users. It wasn't until October 2023 that Apple Pay Later saw a full-fledged launch in the US market.

However, barely a year after its official rollout, Apple has surprised its user base by announcing the discontinuation of Apple Pay Later. This decision comes hot on the heels of the 2024 WWDC, where the tech giant revealed its strategic pivot towards a new global installment loan offering, set to debut later in the year.

In a statement provided to 9to5Mac, an Apple spokesperson confirmed the shift in strategy:

"With the introduction of this new global installment loan offering, we will no longer offer Apple Pay Later in the U.S. Our focus continues to be on providing our users with access to easy, secure, and private payment options with Apple Pay, and this solution will enable us to bring flexible payments to more users, in more places across the globe, in collaboration with Apple Pay enabled banks and lenders."

This move signifies Apple's ongoing commitment to enhancing its financial services ecosystem, aiming to offer more expansive and versatile payment solutions to a broader international audience. Notably, Apple Pay Later, despite its initial traction, remained confined to the US market throughout its tenure, failing to extend its footprint globally.

For existing users of Apple Pay Later, Apple has assured continued support, allowing them to fulfill their payment obligations through the Apple Wallet app until settled. Meanwhile, the forthcoming installment loan offering promises a wider reach, spanning multiple countries including the US, the UK, Australia, and Spain.

As Apple navigates the competitive landscape of digital finance, this strategic transition underscores its adaptive approach in responding to consumer preferences and market dynamics. By collaborating closely with global financial institutions, Apple seeks to fortify its position as a key player in the realm of digital payments, ensuring seamless and accessible financial solutions for its expansive user base.

 IMAGES CREDITS: APPLE