Google Pay to add more BNPL options in the US

Google has forged partnerships with Zip and Affirm

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Google has partnered with Zip and Affirm to introduce new buy now pay later (BNPL) options for U.S. consumers using its mobile payment service Google Pay.

Here are a few key points:

• Starting as a trial in Q1 of 2024, Android users will see Affirm and Zip as payment choices on certain merchant apps and websites that support Google Pay during checkout.

• Customers can pick a BNPL provider from the list to split payments into manageable instalments. For instance, choosing Zip allows users to understand the terms, complete a few steps, and upon approval, divide payments for purchases over $35 using Zip's pay-in-four service.

• Drew Olson, Google Pay's Senior Director, highlights this collaboration as a way to enhance the checkout experience for users while providing merchants with an additional tool for business growth.

• Those additions follow a 2020 partnership with BNPL provider Afterpay.

• Competing platform Apple Pay announced the launch of its own BNPL service (Apple Pay Later) last March.

This could be a great growth opportunity for both Zip and Affirm (see the infographic below).

Image credit: Statista