What is Buy Now Pay Later?

BNPL schemes are alternative credit options which allow you to delay or spread the cost of your purchase total into premdominantly interest-free instalments. These schemes can be viable solutions when your budget is tight, helping you to prepare for things such as weddings, holidays or job interviews.

Offering extra help until your next payday, spreading the costs of your order can help you to:

• Purchase multiple items or sizes at the same time
• Allow consumers to pay for their retail purchases in interest free instalments*
• Spreads the costs of any eligible purchasess to suit your finances
• Delay payments until after the customer's payday

(*Some schemes may charge interest or fees, check the costs and APR and interest rates in the terms and conditions before you apply.)

At Fablious, the alternative finance community, whatever you need to pay later for, we’ve got you covered with our comprehensive guide to help you to compare your options for the latest BNPL schemes and providers in the UK. Helping ensure that we cover all your questions - having complete transparency.

Compare your options:

Zilch is a virtual card that allows you to shop at over 4,000 different retailers, an entirely innovative and interest-free product!

All that is required of you is that you clear your balance within six weeks after your first minimum payment of 25% of your purchase when you checkout, the second payment after two weeks and the third and fourth after four and six weeks.

As Zilch gets a commission from the retailers that they work with, you don’t have to worry about any fees or incurring debts or interest.

Special features include:

• Virtual card
• No late payment fees
• No credit check
• Shop at over 4,000 retailers

Zilch is perfect for those looking for a virtual card that allows you to shop both online and in-store.

The Swedish bank Klarna has recently become one of the biggest BNPL brands taking the UK by storm.

Online and in-store retailers who provide their customers with the option to checkout with Klarna can choose from the following credit agreement options:

• Delay their purchase for 30 days using Pay later
• Split your purchase into monthly instalments (with interest) using Slice it
• Spread the costs equally over three months (the first payment due on the day of purchase, then again 30 and 60 days after) with Slice it in three

Special features include:

• Different payment plans available
• Interest-free options available
• Repay over 30 days to 36 months
• Shop at a wide range of retailers

Klarna is perfect for those who wish to shop at a wide range of high-street retailers online and in-store, spreading the costs over anything from 30 days to 36 months.

The Klarna app is available for download from the App Store UK and Google play.

Clearpay allows you to purchase items online and repay in just four instalments, completely interest-free.

All that is required for you to do when using Clearpay is to select it as your payment method when you checkout online. You will be required to fill out a quick form, and you’ll receive an instant decision on whether or not you’ve been approved to use Clearpay.

If approved, the costs of your purchase will be split into four fortnightly instalments. With Clearpay you’ll be required to pay the first instalment on your day of purchase. After that payments will be taken automatically fortnightly from your bank account until you have cleared your outstanding balance.

There are no fees or interest charged for paying with Clearpay, except if you are late making a repayment.

Special features include:

• Interest-free payment method
• Fortnightly automatic repayments
• No hidden fees
• Repaid in 4 payments in 6 weeks

Clearpay is perfect for those looking for an interest-free credit option over a period of 6 weeks after their purchase.

The Clearpay app is available for download from the App Store UK and Google play.

Laybuy allows you to pay for your purchase weekly, without having to pay any interest over six weeks.

You can use Laybuy, both in-store and online.

• For online purchases: select Laybuy as your payment method, proceed to checkout as you usually would and sign up for a Laybuy account. Once you’ve signed up, you can then choose which day you wish for your repayments to be made and you’re good to go!

• To pay in-store: take your items to the checkout and ask to pay with Laybuy (in selected stores only). You’ll then be required to give your telephone number and to which you will be sent a text message with a link which will allow you to complete the sale of your purchase. Just as you would make an order online with Laybuy, you’ll then be asked to select a date for your repayments, and all done!

Special features include:

• Use online and in-store
• Interest-free option
• Choose your repayment date
• Repay in just 6 weeks

Laybuy is perfect for online and high-street shopping - allowing shoppers to repay weekly.

The Laybuy app is available for download from the App Store UK and Google play.

Payl8r prides itself on being rated number one for millennial finance.

Pay for your purchases online and in-store with payl8r and either:

• Use the Speedy option to pay for your purchase back in 30 days, completely interest-free
• Use the Split option for split your repayments over a payment period of 3, 6, 9 or even 12 months (with interest)
• Use the Spread option to spread out your repayments, interest-free

Special features include:

• Interest-free payment options
• Different payment plans for added flexibility
• Freeze your repayments if you have trouble paying
• Repay in 30 days to 12 months

Payl8r is perfect for a wide range of retailers, providing different payment plans for added convenience and flexibility.

Australian brand Openpay launched all the way back in 2013 and has recently made it over to the UK BNPL market.

With Openpay, when you shop online you’ll need to select the pay with Openpay option at the checkout. You’ll then be required to sign up for an account, and a soft credit check will be performed to see whether you are eligible.

Once approved, you’ll make your first repayment on the day of your purchase, and you’ll then choose your repayment period and dates. For added flexibility, you can change your next instalment date, so it works better for you.

Your repayments will be taken out automatically each month on your prearranged repayment dates. If you repay over 2 to 3 months, you won’t be required to pay any additional fees or interest.

Special features include:

• Choose your repayment dates for added flexibility
• Interest-free payment options
• Soft credit check performed instead of a hard enquiry

Openpay is perfect for those looking to shop online with the added flexibility of working your repayment dates around your finances.

The Openpay app is available for download from the App Store UK and Google play.

Zip allows you to shop at thousands of retailers both online and in-store, repaying the total amount in four interest-free repayments.

Sign up for your account today or before you check out using Zip and repay your purchase fortnightly.

To use Zip when wanting to pay for your online shopping, all you need to do is to select Zip as your payment option when you checkout online or instore. To use Zip in-store, download the app on your smartphone, log in to your account and get a six-digit code for your purchase to show when you check out.

Special features include:

• Interest-free payment options
• Shop online and in-store
• Fortnightly repayments

Zip Pay is perfect for those looking to make fortnightly payments on their online purchases.

With Fly Now Pay Later, you don’t have to wait to go to the holiday destination you’ve always dreamt of going to. Instead, Fly Now Pay Later gives you the option to repay the cost of your trip over one to 12 months.

All you need to do to use Fly Now Pay Later is to book a trip with one of their partner companies and select the ‘Fly Now Pay Later’ option when you check out and choose your repayment period.

Special features include:

• Eligible on holidays of up to £3,000
• No Early Repayment Charges should you wish to repay in full earlier
• No hidden fees for complete transparency

Fly Now Pay Later is perfect for those jet setters wanting to get away, without having to wait.

The Fly Now Pay Later app is available for download from the App Store UK and Google play.

LoveHolidays know how stressful and challenging booking holidays can be, which is why they offer Pay monthly holidays with flexible repayment options:

• Pay monthly: allowing you to pay an initial deposit of just £25pp for flights and your hotel (£15pp for only hotel booking), then repaid in equal monthly instalments.
• Low deposit: low deposits from just £25pp for flights and accommodation, £15 accommodation only. Repay the rest in regular monthly deposits.
• Standard deposit: split the costs of your flights and hotel or even just your hotel into two instalments.

Special features include:

• Eligible on flights and accommodation
• Range of options for convenience
• Low deposit options

(For cancellations and rebookings, type and time of booking may apply)

LoveHolidays is perfect for those looking for flexible payment options to pay for flight and hotel bookings.

The LoveHolidays app is available for download from the App Store UK and Google play.

Flava is the UK’s first online grocery service that allows you to shop now and pay later.

Shop online without having to compromise on buying brands that you would usually find in your local supermarket, all at a discounted price. With BNPL options such as Flava you have the option to pay with flexible repayment periods at 0% APR.

All you have to do is sign up and become a member to take advantage of Flava’s discounted items, and your order will be delivered straight to your door.

For additional deals, sign up for Flava’s Benefit Card to receive:

• Special prices and discounts
• Exclusive access to member’s only products
• Further additional promotional codes

Special features include:

• Big-name brands for just half the price
• Repay at a later date, convenient for you
• Promotional codes
• Flava Benefit card

Flava is perfect for buying big name brands at discounted prices, helping you to not only save, but to repay at a later date.

Whether you’re looking to spread the costs of your washing machine or a games console, Hughes has exactly what you need, when you need it. With a large variety of products available, Hughes allows you to spread the costs of any appliances or electronics into repayments over periods of 24, 36 or even 48 months for added flexibility.

Special features include:

• No deposit needed upfront
• Apply for your appliance in minutes
• Spread the costs or rent appliances

Hughes is perfect for those looking to spread the costs of a new home office, entertainment system or home appliance either by buying or renting from Hughes directly.

Frequently use PayPal as your payment method but need a little extra time to repay? Why not pay using PayPal’s Credit option - just like a credit card but without the unnecessary plastic.

Simply make your purchase and choose to repay with PayPal, selecting the credit option. You’ll then be able to use your credit to allow you to repay your purchase over a time period that suits you.

Special features include:

• Being able to pay at thousands of eligible retailers
• PayPal buyers protection covering your purchases
• Manage your online credit account anywhere
• Recieve regular payment reminders

PayPal Credit is perfect for those who are looking for a trusted payment method, offering both credit and the added benefit of buyers protection.

The PayPal app is available for download from the App Store UK and Google play.

Tymit is not your typical credit card.

With Tymit, the way that you use credit has been completely reinvented. Instead of having to deal with things such as high-interest rates, minimum monthly repayments and keeping track of all your bills, with a Tymit account, you don’t have to worry about any of that.

Special features include:

• Choose your instalment plan: choose how you wish to make your repayments as soon as your purchase is completed.
• Only pay interest on your instalments, not what you owe: only pay interest on your instalments instead of your total outstanding balance to save money.
• 0% APR on purchase repaid over three months: pay no interest on instalments if you repay over three months. Other costs will be specified if you wish to repay over periods of 4 - 24 months.
• Make payments and adjustments, anytime you need to: repay your balance or instalments without having to pay any Early Repayment Charges (ERCs).
• Group your purchases for easier tracking: track and monitor your spending easily by grouping and categorising your purchases.

Tymit is perfect for those who wish to spread the costs of their credit card purchases into instalments, as well as tracking and monitoring their spending and protecting their credit score.

The Tymit app is available for download from the App Store UK and Google play.