Buy Now Pay Later (BNPL) provider LayBuy has launched a “Tap to Pay digital card in the UK as the high street gears up to accept in-store BNPL payments.
The card will allow customers to purchase goods in-store by just tapping their smartphones on chip and pin devices as they would with a normal contactless card.
The launch will allow retailers to offer LayBuy’s pay-in-six instalment plan for purchases at checkout.
Initially the service will be for merchants that already have a partnership with the provider, however it will be rolled out so customers can use it at more leading retailers in the near future.
Data provided by the LayBuy provider suggests offering BNPL capabilities helps increase store sales, lifts the average basket spend and encourages new customers.
LabBuy says there is zero integration required and merchants can enable in-store payments in a matter of minutes.
The process is also incredibly efficient for customers, allowing them to bypass a number steps which are traditionally found in BNPL processes.
All customers will need to do to use the service is download LayBuy’s card onto their smartphone wallets and will be able to enjoy benefits including zero interest and pay-in-six.
“BNPL is becoming increasingly popular in the UK, so we’re delighted to launch ‘Tap to Pay’ today,” Managing LayBuy director and co-founder Gary Rohloff said.
“People love using Laybuy because it’s simple to use, charges no interest and allows people to pay in six manageable instalments.
“In fact, 86% percent of our customers looking to return to stores have explicitly requested the option of using Laybuy in-store, too.”
BNPL schemes have gained popularity in the last 12 months and according to data from Citizens Advice, 45 per cent of 18 to 34-year-olds have used a scheme in the last year.
The report found a massive 52 per cent of those young adults said they did so without realising it, while 35 per cent said they went on to regret using the service.
The damning report found that of the shoppers who’d said they’d used a BNPL scheme over the last year, 41 per cent said they struggled to make the repayments.