Affirm teams with Stripe to expand in the US

Through the venture, Stripe merchants will be able to use Affirm’s adaptive checkout service, which allows customers to split purchases of up to USD 30,000 into instalments, with a maximum credit limit of USD 17,500.

BNPL firms like Affirm earn from charging merchants a fee to offer their customers small, point-of-sale loans which are paid back in interest-free instalments over a period of time, bypassing credit checks.

Affirm is a publicly traded financial technology company headquartered in the US. Founded in 2012, the company operates as a financial lender of instalment loans for consumers to use at the point of sale to finance a purchase.

Stripe is a financial infrastructure platform for businesses. Companies use Stripe to accept payments, grow their revenue, and accelerate new business opportunities. The company aims to increase the GDP of the internet.