Since the rise of e-commerce, it is no secret that Buy Now Pay Later solutions have provided Americans with a new way to secure financing at the point of sale. All in all, these payment solutions have gained rapid popularity due to their convenience and flexibility, enabling customers to finance their purchases without having to pay the full amount upfront.
However, with the increasing number of companies offering BNPL financing options, customers are now faced with the challenge of choosing the right financing option that aligns with their credit profile and needs. Between the different policies, interest rates, and repayment periods, it can quickly become an overwhelming challenge to compare. As a result, many consumers find that making informed decisions about BNPL solutions becomes more of a credit-hindering burden than for what it’s worth.
The good news is that With WeGetFinancing, finding payment solutions doesn’t have to be like that anymore.
Making it easy for consumers to access a wide range of financing options, WeGetFinancing closes the gap with just a single application regardless of credit profile. This is because unlike other BNPL solutions, WeGetFinancing works with numerous banks and lenders, allowing them to cover the broadest range of available offers and terms. The platform’s credit search engine instantly identifies the best financing offers available, leading to more approvals and a hassle-free checkout experience.
Buy Now Pay Later Solutions – The BNPL Boom at retail and e-commerce
Buy Now Pay Later solutions have been a game changer in the world of retail and e-commerce. The concept of BNPL is not new, as it dates back to the early 2000s. However, POS financing solutions have recently gained significant momentum. This popularity can be attributed to the state of the economy and consumers’ credit scores falling from prime levels.
BNPL financing options provide an easy and convenient way for consumers to make purchases they might not have been able to make otherwise. In fact, 47% of US consumers have used a BNPL financing option at least once in the past year. Additionally, the COVID-19 pandemic has brought about financial hardships for many Americans, making BNPL solutions an attractive option for those looking to finance their purchases with more flexibility.
Overall, BNPL solutions have become a popular POS financing solution, with projections indicating that the global BNPL market will reach upward of $5B by 2025. Some popular BNPL apps include Afterpay, Klarna, Affirm, and PayPal Credit. Each of these solutions offers slightly different approaches to BNPL financing, with some offering interest-free options or the ability to split payments over a longer period. While these solutions are still prominent, it’s important to note that they are ultimately single lenders, and one lender cannot underwrite every customer.
What Does This Spike Mean for Consumers?
The boom of BNPL financing options has been revolutionary in the arena of payment solutions. BNPL has led to many new innovations and levels of convenience unlike ever before. However, as mentioned earlier, more companies have jumped on the BNPL bandwagon without understanding it’s limitations.
In turn, both customers and merchants need more help in understanding the BNPL landscape. Merchants must navigate the complexities of integrating with multiple BNPL lenders. Moreover, multiple lender solutions without the right technology can lead to confusion, as the average customer cannot distinguish one lender from another. If customers are presented with a congested checkout page, they risk selecting the wrong lender for their needs.
Single-lender BNPL solutions hold several cons in and of themselves:
1.Limited Options
Single lender solutions limit a business’s ability to offer diverse payment packages to its customers. This can be a major disadvantage, as customers increasingly demand more flexible payment plans that cater to their unique financial situations. Single lender solutions do not accommodate all credit scores, which can lead to a decline in click-thru rate and conversion rate. Secondly, consumers are not always approved by one lender for the full purchase amount.
2.Lack of Flexibility in Payment Terms
Businesses may be limited in their ability to customize payment plans for specific customers or groups of customers. This can create frustration among customers who may prefer different payment terms, potentially leading to lost sales or negative reviews.
3.Dependency & Potential Conflicts of Interest
By relying on a single lender solution, businesses can become too dependent on one provider, which may limit their ability to switch to alternative financing options in the future. Furthermore, there may be potential conflicts of interest if the lender is also involved in other aspects of the business.
4.Lack of Transparency
Some single-lender financing solutions may not offer customers a transparent view of their loans, including interest rates, fees, and payment options. This can lead to mistrust and confusion, which can damage the lender-customer relationship over time.
Fortunately, WeGetFinancing’s BNPL payment gateway has remedied these issues by allowing merchants to offer multiple BNPL solutions through a single application, allowing customers to compare multiple pre-approved options side-by-side. In tandem, WeGetFinancing utilizes multiple funding sources to cover the full credit spectrum, ensuring that all consumers have instant access to financing options that best suit their needs – minus the paperwork and hard inquiries.
What To Expect with WeGetFinanicng
When choosing WeGetFinancing for your BNPL financing solutions, you can expect a simple, seamless, and complexity-free POS experience. Through a single application, WeGetFinancing offers a multitude of lending options and covers the full credit spectrum, making it one of the most dynamic and comprehensive financing solutions available on the market.
How does it work?
- For Merchants: Through a single integration by API or through popular and best e-commerce platforms like Shopify, WooCommerce, Magento, and Big Commerce, merchants can offer a wide range of BNPL solutions on their checkout pages with one button. Moreover, it offers merchants an excellent opportunity to maximize their average order sales. According to PYMNTS experts, offering BNPL solutions increases the likelihood of a sale by up to 30% and boosts AOV by upward of 50%.
- For Consumers: Once the customer fills out a simple application, WeGetFinancing’s innovative credit search engine identifies the best financing offers available based on their credit profile and in real-time. With instant approval, customers of all credit types can select the financing option that makes the most sense based on their needs.
WeGetFinancing offers options from numerous funding sources, leading to more approvals and better deals for customers. This approach puts the power in the hands of the customers and allows them to choose the financing option that makes the most sense for their situation. In summary, WeGetFinancing allows merchants to offer BNPL financing options like a credit card processing gateway, ultimately allowing customers to easily complete their purchases seamlessly and effectively.
Key Takeaways
- Single integration for multiple BNPL financing options.
- More approvals due to a multitude of lenders covering the full credit spectrum.
- Instant approval without any paperwork.
- Financing options available for all credit types.
- Real-time credit engine that identifies the best financing offers available.
- Increased revenue for merchants with the ability to offer various financing options.
- No guessing work for customers on which BNPL financing option is compatible with their credit profile.
Payment Solutions Enter a New Era with WeGetFinancing
In today’s world of e-commerce, POS financing solutions have become an essential part of the shopping experience. It offers consumers a way to finance their purchases without having to pay the full amount upfront, providing much-needed relief from financial stress. As the BNPL market continues to soar, WeGetFinancing remains a leading player in the industry, offering customers a wide range of financing options through its extensive list of lenders and banks. With instant approval and approval for customers of all credit types, WeGetFinancing has become a staple BNPL financing solution for anyone looking for an all-around easy payment experience.
Overall, WeGetFinancing streamlines the buying experience for customers and benefits merchants through increased revenue and more approved purchases. Customers can now enjoy making purchases with confidence knowing that they have access to a vast range of lending options, while merchants can seamlessly integrate the BNPL Payment Gateway into their store’s checkout process to provide customers with a smooth and straightforward financing experience. The ultimate win-win scenario.
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Visit https://wegetfinancing.com/ to learn more about how WeGetFinancing can benefit you and get started today with the best BNPL financing solutions available.
