Amazon will now let you put items on layaway and pay for them in increments over time. They are calling this “flexible payment.”
Any item that is over $50 can be purchased this way. Buyers can choose to split the payments but they must be approved to use this option, meaning some kind of credit approval will first be necessary. They will be given options for how much to pay over time and they will be shown how much it costs to pay over time for an item. Presumably, this means that there might be some interest or fee added in order to pay this way because the press release says that customers will be “shown the total cost of their purchase upfront and will never pay more than what they agree to at checkout.”
Amazon has partnered with financial company Affirm to roll this out. Affirm will handle the payment part and Amazon will handle the shopping part.
Side note: Shares of Affirm skyrocketed over 40% yesterday on this news.