Apple Pay Adds Affirm and Klarna for In-Store Purchases

Apple Pay users in the U.S. and UK can now use Affirm and Klarna to split in-store purchases into flexible payment plans. Until now, Apple Pay supported these services only for online and in-app checkouts. The update extends “buy now, pay later” (BNPL) options to physical retail stores, giving shoppers more choice at checkout.

How the new options work

If you use Affirm in the U.S., you can split eligible in-store purchases into biweekly or monthly payments. The plans start at 0% APR and go up to 36%, depending on eligibility. Klarna’s options vary by region. In the U.S., you can choose:

• Pay in 4: split into four interest-free installments for purchases over $35
• Pay Later: pay the full amount within 30 days at no interest
• Financing: monthly installments for larger purchases

In the UK, Klarna offers Pay in 3 and Pay Later options.

To activate these services, your iPhone must run iOS 26 or later. You can add them by opening the Wallet app, tapping the “+” button, and selecting “Pay Later Options.” At checkout, double-click the side button, choose Affirm or Klarna, get approval, and authenticate with Face ID or Touch ID.

Affirm and Klarna confirm expansion

In a press release, Affirm said the expansion builds on its earlier launch with Apple Pay for online transactions. Vishal Kapoor, Affirm’s SVP of Product, said the move gives U.S. users “added flexibility and transparency at even more checkouts.” Affirm highlighted that it approves only customers it believes can repay and does not charge late or hidden fees.

Klarna made a similar announcement, noting its services are now part of the Apple Pay in-store experience. Sebastian Siemiatkowski, Klarna’s co-founder and CEO, said the integration “gives people more” by combining Klarna’s installment plans with Apple Pay’s ease and privacy. The company stressed that it applies underwriting to ensure responsible lending without affecting users’ credit scores.

Apple Pay’s role

Apple Pay already offers users a secure and private way to pay. The company said it does not retain transaction data linked to users when they pay with Affirm or Klarna. Apple had briefly offered its own Apple Pay Later service, but it discontinued that option in favor of partnerships with third-party providers.