Affirm, Afterpay or Klarna: The Pros and Cons You Should Know

If you’ve shopped online recently, then you know that buy now, pay later platforms are all the rave. There’s Afterpay, Affirm, and Klarna as the most popular buy now, pay later applications, but if you’re like me, you’ve probably wondered how legit these services are. That’s completely fair, as it can sound almost too good to be true, so let’s break down the pros and cons of each platform:

Afterpay 

Afterpay is an Australian buy now, pay later application targeted towards millennials that’s integrated into thousands of merchant’s stores. This application allows customers in the U.S., Canada, UK, Australia, and New Zealand to get what they need when they need it and pay for it later. 

The pros: It’s free, has interest-free terms and is seamlessly integrated into online stores. 

The cons: It has late payment fees, encourages overspending, and you can’t create your own payment plan. 

Klarna 

Klarna is a comprehensive payment platform that offers buy now, pay later options, installment plans, and direct payment across retail stores worldwide. The company started in 2005 in Sweden and has grown to become a major corporation. 

The pros: It offers discounts and rewards to Klarna users, offers four unique payment options, and is seamlessly integrated into online stores. 

The cons: It has late payment fees, encourages overspending, and has reportedly poor customer service. 

Affirm 

Affirm is a financing platform that helps customers pay at their own pace for online and in-store purchases. It’s an easy-to-use service that can help users build their credit while getting what they need right away.

The pros: No late fees, you can create your own payment schedule, and it’s seamlessly integrated into online stores. 

The cons: It encourages overspending, does not report to all three credit bureaus, and has no refunds on returns. 

When it comes to buy now, pay later programs, paying in cash will always be the best option. However, there are plenty of dependable payment options out there, but you just have to decide which ones are right for you!