Costco collaborates with Affirm to provide a BNPL option to online shoppers

According to the company’s data, Costco serves over 127 million customers worldwide. Additionally, users visit Costco approximately 30 times a year, spending an average of USD 100 to USD 150 per visit, totalling about USD 3.000 annually. For customers, the demand for various payment options is becoming increasingly essential.

Costco has introduced the BNPL payment option, which is now available for Costco’s online shopping members. Users can add purchases to their carts starting at USD 500 and going up to USD 17.500. After being approved for Affirm’s payment plan, they can choose from the available repayment options, usually in six, 12, or 18-month intervals. Once the plan is established, the items are bought, and the customer repays Affirm with interest over time, without any late or hidden fees.  

Retailers are prioritising BNPL options

In recent years, the BNPL option has gained popularity among customers. According to Capital One Shopping research, an estimated 86.5 million people in the US used BNPL in 2024, reflecting a 6.92% increase year-over-year (YoY). 

Compared to traditional instalment loans, which average USD 800 over eight to nine months, the average BNPL loan amount is USD 135 across six months. Additionally, statistics show that 89.3% of BNPL users report making all payments on time and in full.

More information on the Affirm x Costco partnership

Earlier in May 2025, Affirm announced its partnership with Costco to provide online shoppers the possibility to pay over time for transactions securely and efficiently. 

According to company officials, Costco had looked for new ways to leverage BNPL to drive loyalty and customer trust. This strategy came amid economic uncertainty, as many clients had considered managing their spending.