What is Buy Now, Pay Later? Best Buy Now Pay Later Shopify Apps for 2025

Online shoppers today don’t just want to buy; they want options. Most of the time, shoppers are ready to make a purchase, but they don’t want to pay the full amount upfront. They prefer the ease of paying in installments, at their own pace.

That’s where Buy Now, Pay Later (BNPL) comes in; it gives customers the freedom to get what they need now and pay over time, interest-free in many cases.

eCommerce stores are now built with customer convenience in mind, offering smoother, smarter shopping experiences that adapt to how people want to pay. In 2025, BNPL isn’t just a bonus; it’s a powerful tool for boosting sales, reducing cart abandonment, and making checkout work on the customer’s terms.

In this blog, we will break down how BNPL works and explore the best BNPL apps to help you offer flexibility and grow your online e-commerce store.

What is Buy Now, Pay Later, and How Does It Work?

Buy Now, Pay Later (BNPL) is a flexible BNPL payment method that allows customers to purchase items instantly and split the cost into smaller payments over time, often with zero interest or additional fees.

This payment model has grown rapidly in popularity due to its ease of use, transparent terms, and ability to increase the shopping experience for customers of all income levels.

Here’s how Buy Now, Pay Later (BNPL) works:

Step 1: Select BNPL at Checkout

During checkout, the customer chooses a BNPL option instead of paying the full amount upfront.

Step 2: Instant Approval

The customer goes through a quick approval process, often with no credit check or impact on their credit score. Most BNPL companies offering instant approval provide a decision in seconds.

Step 3: Pay a Portion Upfront (if required)

Depending on the BNPL provider, the customer may pay a small upfront amount or make the first installment at the time of purchase.

Step 4: Split the Remaining Balance

The rest of the payment is divided into equal installments, typically 4 interest-free payments over 6 weeks or monthly payments over 3 to 60 months.

Step 5: Merchant Gets Paid in Full Immediately

The BNPL provider pays the merchant upfront, while collecting the remaining payments directly from the customer over time.

Step 6: Customers Manage Payments Easily

Customers can track and manage their payments through the app, often with auto-reminders and autopay options. Trusted pay-later apps with no fees help avoid late charges and make repayment stress-free.

This BNPL payment method is now a preferred choice across industries, offering a win-win solution for both merchants and customers.

Best Buy Now, Pay Later Apps

Buy Now, Pay Later has seen massive growth globally, and many BNPL providers are leading the charge with robust platforms and flexible plans.

Here are the best Buy Now, Pay Later services in 2025 that you should consider for your eCommerce store:

1. Shop Pay Installments

Shop Pay Installments is one of the top BNPL providers with no interest, giving customers flexible payment options at checkout, both online and in-store.

Shoppers can split purchases into interest-free payments or monthly installments of up to 24 months, helping reduce cart abandonment and boost average order value.

Fully integrated with your Shopify theme and POS, it offers smooth tracking of sales, performance, and fees without any redirects or added complexity.

There are no hidden or late fees, and as a secure BNPL provider with no credit check, it lets customers pay comfortably with no impact on their credit score, while you, the Shopify merchant, get paid in full upfront.

2. AfterPay

Afterpay is one of the best BNPL options for online shopping, allowing customers to shop now and pay later, whether online, in-store, or through the Afterpay app.

With flexible options to pay in 4 interest-free installments over 6 weeks or in monthly plans over 6 to 12 months, it offers a powerful BNPL payment method that boosts customer convenience and AOV.

There are no fees when payments are made on time, and helpful reminders reduce the risk of late charges.

As one of the leading interest-free BNPL platforms in the USA, Afterpay also offers smooth Shopify integration, in-app advertising tools, and a merchant dashboard with deep shopper insights, making it ideal for scaling your eCommerce and retail presence.

3. Kalrna

Klarna is one of the top BNPL providers with no interest, trusted by leading global e-commerce brands to increase the shopping experience both online and in-store.

It offers a variety of flexible payment options such as pay now, pay in 30 days, split into 3 or 4 interest-free payments, or extended plans up to 36 months, with or without interest.

Klarna also ranks among the best pay-later apps with no fees when customers pay on time. Shoppers enjoy a smooth, one-click checkout, can earn cashback, and keep their data safe with 24/7 fraud monitoring and advanced encryption.

This BNPL app is available on all major eCommerce platforms. Klarna empowers merchants to boost conversions and customer satisfaction.

4. Sezzle

Sezzle is a top-rated BNPL app that allows customers to shop online or in-store and split payments into 4 interest-free installments over 6 weeks.

As one of the top BNPL providers with no interest, Sezzle offers flexible financing with zero fees when paid on time. Shoppers can choose from Pay in 2, Pay in 4, or extended monthly plans ranging from 3 to 48 months for larger purchases.

This BNPL provider, known as one of the BNPL companies offering instant approval, Sezzle, provides a quick signup process with no impact on credit scores and decisions made within seconds.

For eCommerce merchants, it’s a powerful way to increase basket size and drive more conversions responsibly.

5. PayPal Pay Later

PayPal Pay Later is a trusted and widely accessible BNPL solution that lets customers break up payments into manageable chunks, over weeks or months, with no impact on their credit score.

Shoppers can choose Pay in 4 (4 interest-free bi-weekly payments on purchases from $30 to $1,500) or Pay Monthly (3 to 24-month plans on purchases up to $10,000), all with no sign-up or late fees.

As one of the most secure BNPL providers with no credit check, PayPal makes it easy to check out confidently with autopay and instant approvals.

It’s also among the BNPL companies offering instant approval, available at millions of online stores through a smooth app or web experience.

6. Affirm

Affirm is a flexible and transparent BNPL payment method that lets customers split purchases into manageable payments, with no hidden fees, late fees, or compound interest.

Whether paying in 4 interest-free installments or opting for monthly plans from 3 to 60 months (with 0–36% APR), Affirm adapts to every budget.

You can easily manage purchases, set up autopay, and even use the Affirm Card anywhere Visa is accepted in the U.S.

As one of the best BNPL options for online shopping, Affirm makes it simple to shop your favorite e-commerce brands and check payment options right at checkout. It also stands out among pay-later apps with no fees, offering users control, clarity, and convenience in every transaction.

How to Choose the Best BNPL Provider

With so many BNPL platforms available in the market, choosing the right provider can feel overwhelming. The key is to find a solution that aligns with your store’s goals, platform, and customer expectations.

Below are the essential factors to consider when selecting the best BNPL companies for your eCommerce store:

1. Platform Compatibility

You need to ensure the BNPL platforms work smoothly with your eCommerce platform (e.g., Shopify, WooCommerce, Magento). A native or well-documented integration means faster setup, fewer errors, and a smoother experience for both you and your customers.

2. Fees & Settlement

Understand the fee structure and how quickly you will get paid after a purchase. While some providers offer fast payouts, they may charge higher fees, so weigh the cost against your e-commerce store’s cash flow needs.

3. Customer Experience

You must look for BNPL companies offering instant approval with a mobile-friendly interface and clear repayment terms. A smooth, fast process keeps customers engaged and reduces checkout drop-offs.

4. Regional Availability

Choose a provider that supports your customer base, whether you are selling locally or globally. Make sure they offer localized payment options, currencies, and comply with regulations in your target markets.

5. Extra Features

Some BNPL apps offer fraud protection, analytics, or marketing tools. Secure BNPL providers with no credit check also help attract more users while keeping transactions safe and seamless.

Benefits of Using BNPL Services in Your E-commerce Store

Below are the key benefits of using BNPL services in your eCommerce store:

1. Higher Conversion Rates

When customers see that they can pay in easy installments, they are far less likely to abandon their cart. BNPL platforms reduce the upfront financial barrier, helping hesitant shoppers complete their purchases with confidence.

2. Increased Average Order Value (AOV)

Flexible payment plans encourage customers to add more to their cart. When the total is broken into smaller payments, buyers are more comfortable upgrading or purchasing additional items they might have skipped.

3. Improved Customer Loyalty

Buy Now, Pay Later adds convenience and transparency to the shopping journey, two things modern consumers deeply value. Happy experiences lead to repeat purchases, and offering trusted BNPL options makes customers more likely to return.

4. Broader Market Reach

BNPL services are booming in regions like the US, UK, and Australia, and are gaining traction across Europe and Asia. By offering BNPL, your e-commerce store becomes instantly more accessible to a global, budget-conscious audience.

5. Competitive Edge Over Other E-commerce Stores

In 2025, shoppers will actively look for e-commerce stores that offer installment options. By using the best BNPL options for online shopping, you differentiate yourself from competitors and position your e-commerce brand as customer-first and future-ready.

Also Read: Shopify vs WooCommerce: Which Platform is Right for Your Business?

How ControlF5 Helps to Set Up BNPL Apps in Your E-commerce Store

Adding Buy Now, Pay Later is more than a plugin; it’s a strategy. At ControlF5, we help you build and scale your eCommerce store with a flexible payment gateway integrated from day one.

If you are starting from fresh, then we will design and develop your e-commerce store from the ground up, custom, conversion-focused, and BNPL-ready.

Whether it’s Shopify, WooCommerce, or any other platform, our in-house experts ensure your BNPL solution fits smoothly into your checkout flow.

From selecting the right BNPL apps, like Klarna, Afterpay, or Shop Pay, to aligning them with your e-commerce brand’s design and optimizing performance, we take care of every detail.

BNPL is the future of checkout. Let’s build a Shopify Store, beautifully and efficiently.

Frequently Asked Questions (FAQ)

Question: What is BNPL in eCommerce?

Answer: Buy Now, Pay Later (BNPL) is a flexible payment option that lets customers split their purchase into smaller installments. It helps reduce cart abandonment and boosts overall customer satisfaction.

Question: What is the limit of Buy Now, Pay Later?

Answer: The spending limit depends on the BNPL provider and the shopper’s credit profile. It typically ranges from $150 to over $10,000, making it suitable for both small and high-ticket purchases.

Question: Does Shopify allow Buy Now, Pay Later?

Answer: Yes, Shopify natively supports BNPL through Shop Pay Installments. Additionally, it integrates smoothly with top providers like Klarna, Afterpay, Affirm, and Sezzle via third-party Shopify apps.

Question: Who is eligible to buy now and pay later?

Answer: Most BNPL services require customers to be at least 18 years old with a valid ID and payment method. Some providers may also perform a soft credit check to determine eligibility. And there are also some top-rated BNPL apps for students available.

Question: How to set up Buy Now, Pay Later on Shopify?

Answer: You can enable BNPL apps from your Shopify admin under Settings → Payments. Choose the provider you prefer and follow the integration steps—or let ControlF5 set it up smoothly for you.