Shares of Enlighten, a firm that offers lending services for retailers, dropped over 10% on Tuesday after Bloomberg reported Apple plans to offer a competing “buy now pay later” product in partnership with Goldman Sachs.
Afterpay, an Australian firm that also offers installment payments for merchandise, fell over 7% on the report. It trades over-the-counter within the U.S.
The report is the latest mark that Apple wishes to offer additional monetary services through its Wallet app and partnerships with monetary services companies. Buy now pay later merchandise allow consumers to buy a dear product and pay for it over diverse months.
Apple’s most important monetary product up to now is Apple Card, a bank card accessed in the course of the iPhone and administered by Goldman Sachs. Apple and Goldman Sachs declined to observation.
Apple has beforehand offered monthly installment payments with no curiosity on some of its merchandise offered in the course of the Apple store with an Apple Card. For example, Apple Card holders can buy an iPhone in 24 monthly installments, with the payments being bundled into the minimum bank card payment for the duration of the Wallet app.
“One of the things we are doing is making an strive to procedure it extra excellent and extra excellent for folk to rep on these salvage of monthly financing roughly things,” Apple CEO Tim Cook dinner mentioned in 2019 when introducing this system.
In Could maybe additionally merely, Apple posted a job making an strive for a lead negotiator who would work with payment partners, which listed BNPL expertise as a plus.
—CNBC’s Hugh Son contributed to this report.