Apple has decided to discontinue its "buy now, pay later" service, Apple Pay Later, less than a year after its launch in the US. The tech giant is shifting its focus to a new installment loan service that will be offered through third-party credit and debit cards. This marks a significant retreat from its ambitions to become a major player in traditional financial services. Apple Pay Later allowed users to split payments for goods and services into four installments over six weeks without interest, but it struggled amid rising interest rates and a volatile BNPL market. Apple’s pivot will see its new installment loan feature roll out initially in the UK with HSBC and Monzo banks, and in the US with Citi, Synchrony, and software provider Fiserv. Apple Pay users will also have the option to apply for loans through Affirm at checkout. This move is expected to expand Apple's financial services globally while collaborating with established financial institutions.
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