Since introducing its financial service in 2022, Apple Inc. AAPL users are waiting for the company to provide a buy-now-pay-later (BNPL) service. The wait may soon get over.
What Happened: Apple CEO Tim Cook stated that the tech giant still expects to introduce Apple Pay Later as a component of its financial services business after the company reported its first-quarter earnings on Thursday, according to AppleInsider. "It will be launching soon," Cook told CNBC.
See Also: How To Buy Apple (AAPL) Shares
Apple Pay Later is a buy-now-pay-later platform that will enable users to split any Apple Pay purchase into four equal instalments over six weeks without additional interest or fees.
The feature will essentially allow Apple to underwrite loans and provide funds for users. It will also help the tech giant absorb any losses incurred whenever borrowers miss their repayment obligations.
Why It's Important: Since the announcement, the feature has been delayed. In September, it was reported that Apple Pay Later could be released in the iOS 16.4 update, the report noted.
In June last year, it was reported that Apple buy-now-pay-later services were being announced at a time when fintech companies providing similar services were underperforming due to various reasons. Some of these companies were Affirm Holdings, Australia's Zip Co., PayPal and Block, which acquired Afterpay.
Read Next: Apple Making Its Biggest Watch Even Bigger? Watch Out Next Year
© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.