Buy now, build credit? Apple Pay Later first to hit credit reports،
Last year, Apple Pay Later became available to all eligible US residents. With this service, eligible customers can split a purchase made with Apple Pay into four equal payments over six weeks without any interest or fees. Until now, using short-term buy now, pay later (BNPL) or pay in 4 (Pi4) loans, like those offered through Apple Pay, had no impact on your credit report. However, this is about to change.Experiencedin partnership with Apple, will now include users' BNPL information in their credit reports (via Apple Insider). This makes Apple Pay Later the first BNPL service whose data is reflected in Experian credit reports.
Starting February 28, loans through Apple Pay Later will be noted on Experian credit reports with a BNPL designation. Although existing traditional credit scores do not reflect this change, future credit scoring models may incorporate it.
Jennifer Bailey, vice president of Apple Pay and Apple Wallet, said:
We designed Apple Pay Later with our users' financial health in mind, and an important part of that is ensuring their loans are reflected in their overall financial profile. By reporting Apple Pay Later loans to Experian, we aim to help promote greater transparency and responsible lending for both the borrower and lender, while providing users with the opportunity to further strengthen their credit.
We applaud Apple for taking this significant first step and look forward to working with other leading BNPL providers to drive greater transparency that will benefit lenders and consumers alike.
