Top 10 Buy Now Pay Later (BNPL) Companies in 2026

Offering flexible payment options is a perk that businesses using buy now, pay later options can give to their customers. And the perks for businesses? They are endless—from attracting more customers, generating recurring revenue with monthly payment plans, closing deals faster due to the flexibility of paying over time, and much more. 

In this digital era, where attention spans are short and choices are vast, offering payment flexibility is a strong deal-maker. Customers aren’t just waiting for payday to make their purchases—they’re actively choosing businesses that let them buy now and pay later. As a result, BNPL companies have stepped into the spotlight and have become growth partners, helping businesses remove financial barriers from the customer journey. So, if you are looking for the best BNPL for merchants and providers, keep reading! We are going to take a look at the leading BNPL solutions reshaping what effortless customer financing looks like.

The Growing Role of BNPL Companies:

BNPL for Business Is No Longer Optional—It’s Essential.

The way customers approach payments has transformed, and BNPL companies are at the heart of that shift.

Today’s shoppers crave flexibility without the full financial weight upfront. That’s exactly what the buy now, pay later business model delivers — convenience for customers and consistent cash flow for businesses. 

Hence, integrating BNPL solutions is a strategic move that can:

• Reduce customer drop-off rates
• Boost average order value
• Attract new customers 
• Widens customer reach
• Tap into new customer demographics
• Keep cash flow steady without added risk

So, let’s take a look at some of the leading BNPL companies in the industry!

Here’s a List of the Top BNPL Companies in the USA

1. Affirm

Affirm is a widely known BNPL for businesses in the U.S., with millions of active users. It is available at many big retailers like Amazon, Walmart, and more. Affirm is best known for its transparent pricing. As a result, Affirm has established itself as a reliable BNPL payment solution for both consumers and merchants alike. 

Key Highlights:

• Pay in 4 and Pay in 30 Days: Affirm offers two short-term payment plans: Pay in 4 divides the amount into 4 equal, interest-free installments, and Pay in 30 lets customers pay the balance after 30 days. 

• Pay Monthly: Affirm also offers long-term monthly payment plans ranging from 3–60 months.

• Eligibility and Approval: A soft credit check is required for short-term plans. The approval process is quick and straightforward. However, they may perform a hard credit check for “Pay Monthly” plans.

• Transparent Pricing: The plan terms are clearly mentioned with the exact pricing the customers will owe—no hidden fees. 

• Integration: Businesses can easily integrate Affirm with their system so customers can choose a payment plan at checkout. 

• Financing Amounts: Financing limit starts from $50 to $25,000. It is ideal for small or larger purchases.

2. Klarna

Klarna is among the most popular BNPL solutions, with 100k users in the U.S. using Klarna Plus and 100M+ active users globally. Its global reach can help businesses attract more customers by offering easy payment options at checkout. Klarna acts as a financial intermediary that handles all the hassle of offering payment options and has full control over the financing process, and generally charges merchant fees on transactions. With Klarna, customers can choose to pay in full or pay in monthly installments.

Key Highlights:

• Short-Term Financing: They offer short-term financing options, including Pay-in-4 and Pay-in-30-days.

• Pay Over Time: They also offer payment plans for up to 24 months, so customers can pay monthly.

• Eligibility and Approval: A preliminary soft credit check is used to determine eligibility. However, for long-term plans, a hard credit check may be required. The approval decision is almost instantaneous for short-term plans, but when a hard credit check is required, the process may take longer.

• Integration: Klarna can be integrated into e-commerce platforms, point-of-sale (POS) and in-store platforms, digital wallets, and other business platforms.

• Financing Limit: Up to $2,500 for short-term plans and $10,000 for long-term payment plans.

3. Denefits

Denefits is a rapidly growing BNPL provider with 300k+ happy users across the U.S. It allows businesses to offer flexible payment plans that can be personalized to every customer’s individual needs. It's a ‘no-credit-check’ financing option, making it more inclusive and affordable for customers regardless of their credit background. The business enjoys recurring revenue while Denefits handles the payment plan management and collections with automation, and customers enjoy the flexibility of paying at a convenient pace that fits their budget. Denefits supports providers from a wide range of industries, with major ones being healthcare, dental care, pet care, beauty, home improvement, pharmaceuticals, education, and many more.

Key Highlights:

• Short- and Long-Term Plans: Denefits offers payment plans for 3 months to 48 months or more. Additionally, it features a 12-month deferred interest plan that appeals to a larger customer base.

• Customized Payment Plans: Denefits allows businesses to tailor-make each plan with a customized monthly payment schedule that suits the customer’s payment preferences. This flexibility encourages customers to never miss a payment and pay off the balance diligently.

• Approval Rate: Offers an approval rate of over 95% making it widely accessible for customers.

• Eligibility and Approval: The customers can apply for Denefits BNPL options and get approved instantly, as no credit check is required, and the process is quick and easy. Customers can get same-day financing for services they need, generating a reliable, recurring revenue stream for the business.

• Integration: Denefits can be integrated directly with business websites or their existing system at checkout. It also offers APIs to automate key business processes and boost efficiency. Businesses and customers can also access all the features through the Denefits app.

• Financing Limit: The standard financing is $300–$20,000, and a higher limit for in-house financing options at select providers can be up to $99,999. 

4. Afterpay

Afterpay stands out in the Buy Now, Pay Later (BNPL) market, with over 348k merchants utilizing its services to offer convenient payment options. It is particularly popular among younger generations for splitting purchases into 4 interest-free installments. It serves a wide range of industries, including fashion, beauty, homewares, electronics, healthcare, home goods, travel, and more.

Key Highlights:

• Pay in 4 and Pay Monthly: Afterpay mainly offers two payment options, including paying in 4 interest-free installments, with the first 25% payment upfront and the rest due every 2 weeks. Or pay with 3, 6, 12, or up to 24 monthly installments. 

• Eligibility and Approval: Afterpay conducts an electronic identity verification and a soft credit check before approval. 

• Integration: Afterpay merchant account can be connected to the e-commerce platforms, POS system, or payment gateway like Stripe via a “no-code plugin” or direct API integration. Businesses and customers can also access all the features via the Afterpay app.

• Financing Limit: The financing limit is not fixed for all, however, generally the standard limit starts at $400 up to $4,000. And for monthly plans, the financing limit extends up to $20,000.

• Associated Costs:
  • Merchant Fees: Merchants usually pay a per-transaction fee (usually a percentage of the purchase amount plus a fixed fee), which covers Afterpay’s risk and the immediate payout merchants receive.
  • Late Fees: If customers make late payments, they may need to pay a late fee.

5. PayPal Pay Later

PayPal is a leading payments app with millions of active users worldwide. 60% of these users have used the Buy Now, Pay Later option to pay for purchases, with 51% of these users being Millennials and Gen Z. 

Key Highlights:

• Pay in 4: Splits the purchase amount into 4 interest-free payments, with the first payment due at the time of sale.

• Pay Monthly: This option is for larger purchases and allows customers to pay in monthly installments over a longer period, i.e., 6–24 months, with an APR that varies.

• Eligibility and Approval: A soft credit check is used to determine eligibility for a pay-in-4 plan, and customers get a quick decision. However, for a long-term plan, a hard credit pull is required. 

• Payment Schedule: For "Pay-in-4" plans, payments are due every two weeks, while customers make fixed monthly payments if they choose the "Pay Monthly" option. The monthly plans range from 3, 6, 12, to 24 months with a fixed APR that can range from 9.99% to 35.99% depending on credit score.

• Financing Amount: PayPal Pay in 4 offers a standard financing limit upto $1,500. The standard financing limit for Pay Monthly ranges from $200 to $10,000.

6. Sezzle

Sezzle is another key BNPL provider that offers both long-term and short-term financing options to customers online and in-store. It's widely used across industries, including retail, beauty, fashion, travel, automotive, and electronics. 

Key Highlights:

• Pay in 2 and Pay in 4: Customers can split their purchase into two installments or into 4 installments, where the first payment is collected at the time of the purchase, and subsequent installments will be scheduled automatically. 

• Monthly Installments: When shopping for big-ticket items, Sezzle offers monthly plans from 3 to 48 months with an interest rate of 0% up to 34.99% depending on credit eligibility.

• Eligibility and Approval: Sezzle also uses a soft credit check, which does not impact the customer’s credit score. 

• Integration: Sezzle can integrate with e-commerce platforms, using APIs or via a plugin. Sezzle merchant account features are also accessible through the online platform and the app.

• Financing Limit: The initial spending limit can be up to $2,500 per transaction, with up to $4000–$5000 maximum limit for pay-in-4 options. The spending limit for monthly plans can be up to $15,000.

7. Splitit

Splitit has the most unique BNPL model that leverages the customer’s credit card to split purchases into 3 to 12 months of manageable installments. The Splitit technology leverages the existing credit balance on the customers’ credit cards. Hence, they don’t need to apply for financing or wait for approval; they can choose this option directly at checkout.

Key Highlights:

• No New Credit Line or Credit Check Required: As Splitit uses the credit card the customer already has, no new credit lines need to be opened. And there’s no extra credit check, as the credit card issuer usually runs one when issuing the card. 

• No Interest Charges: The purchase amount is divided into monthly installments, but there are usually no additional interest charges on installments. However, standard credit card charges may apply. 

• Integration: Businesses can use platform-specific plugins, a direct online checkout via e-commerce platforms, or a custom API integration for managing transactions smoothly.

• Uses Existing Credit Card Limit: The maximum financing limit is as per the customer’s existing credit card limit. Hence, for purchases made with Splitit, the customer’s card must have sufficient balance to cover the full purchase amount.

8. Zip Co

Zip Co. is a globally known BNPL platform primarily operating in Australia, New Zealand, and the United States. Zip provides short- and long-term installment options for online and in-store shopping, making purchases affordable. Customers can also link their digital wallet, such as Apple Pay, Google Pay, to a physical or virtual zip card for convenience. Zip is accepted by thousands of retailers across the globe, making products and services accessible across lifestyle, fashion, travel, home goods, and other service sectors.

Key Highlights:

• Pay in 4 and Pay in 8: They offer two short-term payment options to split monthly payments into 4 or 8, due every two weeks. However, an upfront payment at checkout, usually a small portion of the purchase amount, is mandatory before approval.

• Long-Term Plans: Zip offers long-term plans from 4 months up to 48 months, though plan structures may vary in different locations.

• Eligibility and Approval: A soft credit check during the application process is usually required. Zip offers instant decisions based on automated assessment at checkout.

• Integration: Businesses can integrate Zip via pre-built connectors for e-commerce platforms, online payment systems, or custom integrations. Zip's API also allows smooth integration with ERP systems, P2P (procure-to-pay) systems, and more.

• Financing Limit: The spending limits vary for different financing options.
  • Zip Pay: Up to $1,500 for short-term plans such as four equal bi-weekly payments.
  • Zip Money: Offers credit limits of up to $5,000 with interest-free periods (usually 3 months) followed by standard APR for the remaining monthly plan term.
  • Zip Plus: Designed for higher-value purchases, Zip Plus offers a spending limit of $2,000 to $8,000 at most.

9. Sunbit

Sunbit is a well-established BNPL provider offering payment plans for essential services in sectors like healthcare, dental, veterinary, optical, and automotive. It is a favored BNPL option for customers wanting easy, on-the-spot financing for necessary or unexpected purchases. 

Key Highlights:

• Flexible Installments: Customers can choose plans for any duration between 3 and 72 months, depending on eligibility and purchase amount.

• Eligibility and Approval: Like most BNPL providers, Sunbit also runs a soft credit check to determine eligibility. The approval process is quick, with a 90% approval rate for customers.

• APR on Plans: Sunbit provides 0% APR on select promotional financing options, and a standard APR of 9.99% to 35.99% applies on the remaining plan term, depending on the customer's credit profile.

• Integrations: Sunbit integration typically requires a software integration, such as through a partner platform. Merchants can also use the Sunbit app.

• Financing Amount: Sunbit supports purchases for amounts starting at $50 up to $20,000.

10. Perpay

Perpay’s Buy Now, Pay Later (BNPL) model uses a unique approach where the recurring payments are directly linked to a customer’s paycheck. Hence, it automatically deducts installments on each pay cycle, which can be weekly, biweekly, or monthly, as per the customer's pay schedule. This income-based repayment method is appealing for customers with limited credit history or lower credit scores.

Key Highlights:

• No Traditional Credit Check: Perpay does not require any typical credit checks as it uses income-based underwriting to determine eligibility. 

• Payroll-Deducted Payments: Payments are automatically deducted from a customer's paycheck, which ensures predictable and timely repayment. 

• Perpay Marketplace-Only Purchases: Customers can shop through the Perpay marketplace only. The marketplace includes categories such as electronics, appliances, apparel, home goods, etc.

• Integration:  Perpay uses APIs, which connect to over 1,500 income platforms to automate paycheck-linked repayments through direct deposit. Merchants can integrate with platforms that support Perpay as a payment gateway option.

• Financing Limit: Perpay’s spending limit is based on income and payment history, hence, the initial limit may start at $300 and can be extended up to $3,500. 

How Does the Buy Now, Pay Later Business Model Work?

In simple terms, the Buy Now, Pay Later (BNPL) business model lets customers purchase a product or service immediately and pay for it over time. While the concept sounds simple, there’s a structured payment flow happening behind the scenes to make it work smoothly for both customers and merchants.

Here’s How the BNPL Model Typically Works:

1. The Customer Chooses a BNPL Option at Checkout

Once the merchant sets up the BNPL checkout—online or in-store—the customer selects the payment plans available or a custom payment plan, depending on the BNPL provider’s model.

2. The BNPL Provider Evaluates Eligibility

The BNPL provider may run a quick check (soft credit check or internal risk assessment) or a hard credit check. Soft checks don’t affect credit scores, and the approval happens in seconds.  

3. Customer Starts Paying in Installments

Once the customer accepts the payment plan proposal, the BNPL company handles all repayment reminders, collections, and follow-ups. This ensures:

• On-time payments
• Reduced merchant workload
• A smoother customer experience

How to Implement BNPL Software into Your Business?

1. Assess Your Business Needs

To get started with BNPL options, you first need to take a look at your business’s needs, target demographic, and their payment preferences. For instance, most customers prefer making recurring payments rather than paying all up front for high-ticket items.

2. Research and Select BNPL Providers

Compare the different BNPL companies offering solutions in your related industry. Also, research about the implementation costs, financing flexibility, ease of application, approval process, and other factors. You can also select more than one BNPL solution to better serve your customers’ needs. 

3. Set Up Your Business Profile

Once you have decided on a BNPL software, you need to complete the sign-up process. Provide the necessary information for secure verification, and you’d be all set.

4. Connect to Your Platform

Once your account is set up, you can integrate the payment options directly into your website or use APIs to integrate them into your existing workflow. You can link your e-commerce account, POS systems, and accounting software to the BNPL solution to streamline financial management. For instance, Denefits’ integration with QuickBooks allows users to link their financial records seamlessly across platforms.

5. Promote the Benefits

Explain to customers the convenience and budgeting flexibility of BNPL at the time of sale, first consultation, checkout, or through digital marketing, social media, and other methods.

Final Thoughts

In today’s world, customers actively seek payment methods that allow them to manage their purchases without blowing their whole budget in one go. Businesses that meet this demand by offering the right BNPL options are positioning themselves ahead of the curve.

By partnering with BNPL companies, businesses can simplify payments, reduce friction at checkout, and make high-value purchases more accessible. Hence, BNPL doesn’t just benefit customers—it drives higher conversions, stronger loyalty, and sustainable financial growth for businesses. Embracing BNPL today means building a more flexible, customer-centric, and sustainable future. 

FAQs Related to BNPL for Merchants

1. What Is the Best BNPL for Merchants?

The best BNPL companies for merchants in 2026 include Klarna, Afterpay, Affirm, Sezzle, PayPal Pay Later, and FinanceMutual. Each BNPL software offers unique features designed to simplify payment plan management, increase customer conversions, and support different industries. The best choice depends on your business type, target audience, and integration needs.

2. How Does BNPL Work for Merchants?

BNPL solutions integrate directly into the merchant’s checkout processes. When customers select a BNPL option, they get a quick approval, and the merchant receives monthly payments or gets paid upfront. The BNPL company handles the customer’s repayment schedule. This allows businesses to offer payment flexibility without taking on financial risk.

3. How Does an Arrangement by Businesses to Offer Buy Now, Pay Later Options Help Businesses Grow?

When businesses integrate a BNPL option, they make their products or services more accessible to customers. This is especially a preferred choice for those who find it convenient to pay in installments instead of all up front. This not only instills more trust in customers but also increases their purchasing capability and boosts overall revenue—leading to long-term growth and improved revenue stability.

4. What Are the Benefits of Buy Now, Pay Later for Merchants?

There are many key benefits of offering buy now, pay later for merchants, including:

• Increased sales due to easy payment methods.
• Higher average order values.
• Quicker purchase decisions.
• Greater customer satisfaction and loyalty.
• Increase in repeat business from happy customers.
• Attracts a wider audience who prefer flexible payments.
• Helps maintain steady cash flow.
• The BNPL providers usually handle customer repayments and financial risks.

5. Can BNPL Be Used by Service-Based Businesses?

Yes, absolutely. BNPL options are widely used in industries like healthcare, beauty, and education. Businesses can use BNPL software to offer flexible payment plans for services, customize them as per the customers’ needs, and improve accessibility and customer satisfaction.