The new offering will be included in the merchant's existing PayPal pricing


PayPal's corporate headquarters in San Jose, California. (Credit: Sagar Savla/Wikipedia.)

Online payments provider PayPal has introduced an interest-free buy now pay later instalment offering, dubbed Pay in 4, for US customers.

Part of the company’s suite of Pay Later solutions, Pay in 4 is said to enable merchants get conversion, revenue and customer loyalty without any involved risk or additional fees.

Also, the new solution is designed to ensure merchants and partners get paid upfront while helping customers pay between $30 and $600 for their purchases in four Interest-free instalments over six-weeks.

PayPal global credit SVP Doug Bland said: “In today’s challenging retail and economic environment, merchants are looking for trusted ways to help drive average order values and conversion, without taking on additional costs. At the same time, consumers are looking for more flexible and responsible ways to pay, especially online.

“With Pay in 4, we’re building on our history as the originator in the buy now, pay later space, coupled with PayPal’s trust and ubiquity, to enable a responsible and flexible way for consumers to shop while providing merchants with a tool that helps drive sales, loyalty and customer choice.”

Pay in 4 can be accessed through customers’ PayPal wallet, and merchant’s PayPal pricing

PayPal said that its new offering will be included in the merchant’s existing PayPal pricing, to avoid them make additional payments, and prevent consumers from paying fees or interest.

Pay in 4 is planned to be offered through the customer’s PayPal wallet, helping them manage their payments in the PayPal app, and makes payments easy with automatic re-payments.

Along with Pay in 4, PayPal offers several other financing options, including PayPal Credit, and Easy Payments, which is commonly used buy now pay later services offered in the US and UK.

Also, the firm offers PayPal Ratenzahlung and Paiement en 4X installment products in Germany and France along with Pay After Delivery offering in Australia, Canada, France, Germany, Spain, the Netherlands and UK.

Merchants and partners including Aldo Group,, BigCommerce, Swappa and WooCommerce are said to have recorded success in conversions and acquiring new customers through PayPal’s flexible financing options.

Aldo Group omnichannel experience senior director Gregoire Baret said: “While shopping online, our customers care about flexibility, control and seamless experiences.

“Pay in 4 is built with these customer needs in mind, and it leverages the trust our consumers already have in the PayPal brand. We are excited to continue learning about the tools and technology that help our customers, especially in the lead up to the holiday season.”