You can apply for Affirm financing at a store or online checkout instantly. It takes a few minutes to apply for a short-term loan with Affirm.
Then, you can use a debit card, checking account, or paper check to make a loan payment to Affirm.
Let us go through the details on how to get financing with Affirm and what payment options you can make for loan payments.
Affirm – Buy Now, Pay Later 2022 Overview
Affirm is one of the leading financial brands offering “Buy Now, Pay Later” services to users. You can use Affirm to fund purchases at one of its retail partners.
Even if your preferred seller is not on the list of Affirm partner stores, you can use a virtual debit card to pay there and return the money later to Affirm.
Here are a few key features of Affirm financing.
0% APR
Like all major financial service providers, Affirm offers a “buy now, pay later” payment plan with no interest charges. If you repay the full amount in four equal installments, you do not pay any interest charges.
Credit Limit
The credit limit from Affirm will vary by the borrower. It may also be restricted by the partner store. Usually, a few factors combined will decide the credit limit including the applicant’s credit score, monthly income, affirm account history, and so on.
The maximum credit limit with Affirm is currently set at $17,500.
Affirm Partner Stores and Retailers
Affirm has partnered with many leading brands, stores, and retailers throughout the US. Some of them include:
- Walmart
- Amazon
- Samsung
- Target
- Audi Service & Parts
- Adidas
- Best Buy
- Expedia Hotels
Credit Score
Affirm does not require a minimum credit score. It does not pull a hard inquiry on your credit history as well.
However, Affirm will assess your credit score and set the credit limit according to your monthly income and credit utilization ratio.
How to Use Affirm for Shopping?
You can use Affirm at millions of retailers, stores, service providers, and merchants. Also, you can use it for online shopping directly or through your favorite brand’s website.
Online and In-Store Shopping with Affirm
The first option is to use Affirm at the checkout of a retailer when you are paying your bills. All you have to do is to inform the counter to make a one-time or credit payment through Affirm.
You can use Affirm for online shopping and purchases made through its mobile app as well.
Retailer Websites with Affirm
The second option is to use Affirm payments at your favorite brand’s website or mobile app. At the checkout, look for the “buy now, pay later” option or Affirm logo.
Then, you can select the 0% APR option or choose an extended loan plan depending on your preferences.
Affirm Virtual Debit Card
If your preferred retailer or store is not on the list of Affirm currently or it does not accept payments from it, then you can request a virtual debit card instantly.
This virtual debit card allows you to pay at the counter and return the loan amount later to Affirm using either the four equal installments plan or an extended loan term.
How Does Affirm Financing Work?
When you pay through Affirm, you have three different ways to structure your loan.
0% APR – Four Equal Installments
The most widely used financing option with Affirm is to pay in four equal installments. It comes with 0% APR if you repay the full amount within the set limit.
You’ll have to pay the first 25% of the total purchases instantly at the checkout. The remaining balance will be split into three equal installments due every two weeks.
If you do not repay within six weeks, you’ll have to pay interest charges on the remaining balance.
Monthly Installment Plans
If you are making significant purchases, you can choose extended monthly loan installments. Affirm allows a loan term of up to 60 months.
The APR on your loan amount will range from 10% to 30% depending on several factors including your credit score, loan amount, loan term, and monthly income.
New Debit + Card
Affirm is rolling out a new financing option to its existing customers with a Debit + card. This card lets users split the purchase amount in advance from $100 to $1,000.
Users will be able to convert the total purchase amount into four equal installments or extended loan terms using this card as well.
How to Get Approved for Affirm Financing?
Borrowers can apply for Affirm approval at a store outlet before paying, online checkout, or through the mobile application.
The approval process is instant, and you’ll get the decision within a few minutes. Affirm does not pull a hard credit check, it only performs a soft credit inquiry.
To be eligible for Affirm financing you need:
- To be 18 years old and a US citizen
- Provide social security number
- A registered phone number
Sometimes, your loan application may be rejected due to higher compliance and credit score requirements by a partner store. Therefore, each financing application with Affirm is assessed separately.
Advantages of Using Affirm Financing
Affirm financing is a good option for you in the following situations:
- If you are looking for a 0% APR loan, go for it. Choose Affirm if you can repay the full amount within six weeks.
- Affirm does not require a minimum credit score and it does not affect your credit score to apply for Affirm financing.
- Borrowers with bad credit can also apply without affecting their credit score further.
- You can fund large expenses up to $17,500 using Affirm payments.
- It offers financing terms of up to 60 months and competitive APRs from 10-30%.
Disadvantages of Using Affirm Financing
Affirm financing is flexible and offers several advantages to its users. Yet it comes with some disadvantages as well.
- Affirm does not offer a dedicated phone helpline for its users.
- It does not always report to credit bureaus, so it is not useful for credit building.
- Borrowers have no options to reschedule their monthly payments.
- 0% APR only allows a credit term of six weeks, after that borrowers have to pay interest charges.
How to Pay Affirm for Loan Payments?
Borrowers can either use the online account or the mobile app to repay the loan amount with Affirm.
Here are a few key steps to make a payment with Affirm.com:
- Sign in with your credentials to affirm.com.
- Choose “Pay” from the navigation menu.
- Select the purchase you want to pay for and select “one-time” payment.
- Select the payment amount you want to pay.
- Select your payment method. (Details below).
- Confirm your payment details, amount, and date.
You can use the same steps to make a payment through the Affirm mobile app as well.
What are the Payment Options You Can Make with Affirm?
You have three different options to make a loan payment with Affirm.
Debit and Credit Cards
Affirm accepts all major debit and credit cards from leading providers including VISA, Mastercard, Discover, and American Express.
You can use any debit card to make a payment to Affirm. However, some banks do not support Affirm with their credit cards like Capital One.
Otherwise, you can use any credit or debit card.
Checking Accounts
Another useful method for you is to link your checking account with the Affirm account. You can then make a one-time payment or set auto payments.
The auto pay option is available for payments through a debit card or bank account. You can easily set up the auto-pay feature by logging in to your Affirm account online or using the mobile app.
You can also set the minimum monthly payment amount or any amount above that to repay your loan with Affirm.
You can add or delete a payment method in settings like a checking account or debit card at any time.
Payment by Mail
You can also pay by paper checks for your monthly installments or pay off the loan amount in full. However, make sure to send in the paper check before the due date as it may take longer to clear the paper check.
You can send a paper to Affirm at the following mailing address:
Affirm, Inc.
30 Isabella Street, Floor 4
Pittsburgh, PA 15212
Include your loan ID and other details such as multiple loan accounts.
How to Set Automatic Payments for Affirm Loan Installments?
An easier way to make payments for Affirm loan installments is to set up the auto-pay function by linking your debit card or checking account.
Here are a few steps to do it easily:
- Log in to your affirm.com account.
- Select the debit card, checking account, or any other payment option.
- Select the purchase for which you want to set the auto pay.
- The auto pay feature will be enabled within 24 hours.
- You can turn off the auto-pay feature at any time.
