Digital Transactions Authoritative, insightful and timely information for payments professionals
As buy now, pay later use continues to grow—U.S. volume could reach $6.5 billion by 2027, one report says—provider Sezzle Inc. is taking a step it says will ensure consumers can use its installment payment service where they like to shop. It launched Sezzle Pay Anywhere, a subscription-based service that enables consumers to use Sezzle’s virtual card online, in-store, or wherever Visa Inc. transactions are accepted.
Sezzle says the fee is not set yet because Sezzle Pay Anywhere is still in the beta stage, a spokesperson tells Digital Transactions News. It will have a gradual rollout and is anticipated to be broadly available by the end of the third quarter.
An active Sezzle Pay Anywhere subscription includes the Sezzle Premium benefits, which has priority customer support, one extra payment reschedule per order, and increased rewards points, plus 1% back in Sezzle Spend. It also includes a credit-building service. Sezzle Spend is a rewards program. The virtual card is funded by the card stored in a user’s Sezzle account.
“Without a doubt, the number-one cause for concern with Sezzle shoppers is their desire to use our core financing product at a wider selection of retailers. In a survey conducted by the Center for Generational Kinetics, we found that over half (53%) of consumers are likely to use installment payments if it’s available at their favorite store,” Charlie Youakim, Sezzle cofounder and chief executive, said in a statement.
Sezzle is touting its service as providing electronic payments for more consumers than those with prime creditworthiness. Sezzle Pay Anywhere grants consumers access to what it calls responsible financing regardless of where they are in their credit journey, it says.
In May, Minneapolis-based Sezzle launched Pay-in-2, a product that splits transactions into two payments, which aids expansion of BNPL into new categories, such as grocery and monthly subscriptions.
BNPL providers have come under scrutiny recently, with Consumer Reports contending some of them could do a better job of providing consumer protections.
