Buy Now, Pay Later Fees Compared in 2026: Late Fees, Interest and Card Installment Plans
Ten pay-later services and card plans priced on one order: what pay in 4 costs when a payment is missed, and what a 12-month plan costs, from each provider's own terms.
Priced on a $400 order with one missed payment and read on 20 Oct 2026, Affirm and PayPal Pay in 4 print no late fee, so the miss adds $0. Klarna and Zip print up to $7, Afterpay up to $8.00 and Sezzle up to $16.95, the highest of the six pay in 4 services. Where a late fee exists, pay in 4 stays at its printed cost only while payments are on time. Chase, Amex, Citi and Apple card plans are priced after them.
Klarna's page calls pay in 4 interest-free when you pay on time, while Zip and Sezzle print an upfront fee in their examples that is due even when every payment lands on time.
Financeradar data: 35 of the 67 credit cards we track (52%) list an intro APR offer, per our statistics page computed on 19 Oct 2026, so an intro 0% card is a comparison point for the plans priced below.
How the order is priced
Every fee was checked on 20 Oct 2026 on the provider's own pages or terms. Totals are our arithmetic on printed terms, not quotes, and the same order runs three ways.
- On time: pay in 4 with every payment made. The cost of credit is whatever the provider prints: nothing for some, an upfront fee for others.
- One missed payment: the on-time cost plus one printed late fee, under the provider's own cap, waiting period and state note.
- A longer plan: a finance charge from a printed APR example, or a card plan's monthly fee times the months, using 12 months as the common length where a plan offers it.
Rates on longer plans can depend on the buyer's credit.
Pay in 4 fees on a $400 order
Rows run from the lowest to the highest cost with one missed payment among the six pay in 4 services priced here.
| Service | Cost if paid on time | Late fee as printed | Other fees printed | Cost, one missed payment | Catch |
|---|---|---|---|---|---|
| Affirm Pay in 4 | None (0% APR, 4 payments of $100 every 2 weeks) | None printed; Affirm says it charges no late fees | No returned payment fee | $0 | Longer Affirm loans carry a personalised APR, and late payments can be reported to credit bureaus |
| PayPal Pay in 4 | None (0% APR, one-fourth down) | None | No sign-up, application, late or NSF fee from PayPal; your bank may charge one | $0 | Carts of $10 to $2,000 only; not offered to Missouri residents |
| Klarna Pay in 4 | None (no interest, no fees unless a payment is missed) | Up to $7 per scheduled payment unpaid after 10 days; total late fees on an order capped at 25% of the purchase | A Pay in 4 applied for in advance (footnote on Klarna's Card line) prints a service fee of $1.29 to $5.99 | Up to $7 | The fee repeats for each missed payment |
| Afterpay Pay in 4 | No interest or finance charge on the standard installment agreement | Up to $8.00 per installment unpaid 10 days after the due date; total capped at 25% of the order; none in Rhode Island | A finance fee "may apply to certain transactions" (example: a $110 loan at 36% APR) | Up to $8.00 | The finance-fee version is not priced for this order |
| Zip pay in 4 | $8 origination fee (4 payments of $102, total $408, 34.75% APR in Zip's example) | $7, or less where the state amount is lower; no waiting period or cap printed | Origination fee varies by order ($0.50 to $124.00 on the how-it-works page, $0 to $140 in the terms); $2 to change a payment date after one free change a month | $15 | The fee is due even if every payment is on time |
| Sezzle Pay in 4 | Service fee up to $7.49 (example: $7.49 on a $300 loan, 45.0% APR); a paid subscription may be required | Up to $16.95 after a grace period (length not stated); total capped at 25% of the order | Reschedule up to $7.50, failed payment up to $6.95, late saver $1.99; Premium $13.99 or Anywhere $19.99 a month | Up to $24.44 | Highest late fee of the six; state law can lower it |
Caps are per order, not per payment. On a $400 order a 25% cap is $100, which one missed payment never reaches. If every scheduled payment were late, the printed per-payment fees would reach up to $28 on Klarna across its four payments, and $24 on Afterpay and about $51 on Sezzle across their three installments (their first payment is a down payment taken at checkout), still under that cap. Zip's agreement prints no cap and no waiting period.
Longer plans and card installment plans on the same order
The second table prices a 12-month plan. Rows run from the lowest to the highest cost the printed terms allow on this order (Zip's figure is for 8 payments), with Sezzle last because it prints no figure for this order.
| Provider and plan | Plan lengths | Cost basis | Cost on the order over 12 months | Catch |
|---|---|---|---|---|
| Apple Card Monthly Installments | 6, 12 or 24 months by product (12 for iPad, Apple Watch, Mac) | 0% APR on eligible Apple products | No interest, 12 payments of about $33.33 | Apple products only; taxes and shipping follow the card's variable APR of 17.74% to 27.99% (1 Oct 2026) |
| Zip, 8-payment plan | 8 payments (interval not stated in the example) | Origination fee; 34.99% APR in the example | $18.97 on Zip's own example (8 payments of $52.37, total $418.97) | Printed for 8 payments, not 12 months; not every customer qualifies |
| Amex Plan It (Blue Cash Everyday terms) | 1 to 3 options; Amex's Credit Intel article says typically 3 to 24 months | Fixed monthly fee, up to 1.33% of the purchase per month | Up to $5.32 a month, up to $63.84 over 12 months if a 12-month option is offered | 0% fee for the first 15 months after account opening; no cancelling a plan once set up |
| PayPal Pay Monthly | 3, 6, 12 or 24 months | APR 9.99% to 35.99% in the table, 0% to 35.99% in the footnote | About $82 at the top of the range (our arithmetic); PayPal's example is $88.01 interest on $600 at 26% over 12 months | Two APR ranges on one page; not offered in AK, CT, HI or WA |
| Afterpay Pay Monthly | 3, 6, 12 or 24 months | APR 0.00% to 35.99% on the Pay Monthly page, 6.99% to 35.99% in its disclosure | About $82 at the top of the range (our arithmetic); Afterpay's example is $117.40 interest on $1,000 at 21% over 12 months | Two APR floors; not offered in WV, NM, NV or HI; the page says no late fees, but its footer says late fees may apply and a finance fee may apply to certain transactions |
| Klarna Pay over time | 3 to 24 months | APR 0.00% to 35.99%, based on creditworthiness and term | About $82 at the top of the range (our arithmetic); Klarna's own example is $173.53 a month on $1,000 over 6 months at 13.99% APR, none for this order | Credit check on application; late fee of up to $7.00 |
| Affirm longer loans | Varies by purchase and merchant | APR 0% to 36%, personalised | $26.56 on Affirm's example ($320 financed after $80 down, 12 payments of $28.88, 15% APR); about $82 at 36% with no down payment (our arithmetic) | 0% APR only at select merchants |
| Chase Pay Over Time (formerly My Chase Plan) | 3 to 24 months | Fixed monthly fee, up to 1.72% of the purchase per month | Up to $6.88 a month, up to $82.56 over 12 months | 0% fee during the 15-month intro purchase APR on Freedom Unlimited; the fee continues after a missed payment |
| Citi Flex Pay (Double Cash terms) | Standard lengths not printed; on Citi Travel, a 12-month plan chosen at checkout is zero-fee | Fixed monthly fee; 1.72% is the top figure on Citi's pricing tables for its cards, not confirmed on the Double Cash page; some plans carry an APR instead | Up to $6.88 a month if 1.72% applies; $82.56 over 12 months only if a 12-month plan is offered at that rate | Purchases of $75 or more; zero-fee promotions are not in the figure |
| Sezzle Pay Monthly | 3 to 48 months | APR printed only in an example | No example for this order; on $1,000 over 6 months: no charge at 0.00%, $73.40 at 24.99%, $105.74 at the top example (our arithmetic on printed payments) | Subject to approval; originated by third-party lenders |
Figures marked "about" are our arithmetic: 12 equal monthly payments on the order at the top of the printed APR, which can differ by a few cents from a provider's own schedule. Card plan fees are charged on the original purchase amount each month, so they do not shrink as the balance falls.
Provider by provider
Affirm: no late fee, a personalised APR on longer loans
Affirm says it charges no late fees, and its account disclosure lists none for late or returned payments. The weakness sits in the longer loans: Affirm prints 0% to 36% APR, with 0% only at select merchants, and its worked example (15% APR, $80 down, 12 payments) costs $26.56 in interest. Affirm's terms also say it may report on-time, late and missed payments to credit bureaus.
PayPal: no late fee on either product
PayPal's comparison table lists no late fees and no sign-up fees for Pay in 4 and Pay Monthly, and its help article says Pay in 4 has no sign-up, application, late or non-sufficient funds fee. The weakness is a conflict: PayPal prints two different APR ranges for Pay Monthly on one page. For sending money rather than financing a purchase, see payment app fees compared.
Klarna: free on time, a fee per missed payment
Klarna's Pay in 4 Agreement says there is no interest and no fees unless you fail to make a payment. The late fee applies to any scheduled payment still unpaid after 10 days, and Klarna's Pay in 4 page says it retries a failed payment once before adding it, with the fee, to the next payment. The weakness is the repeat: up to $28 if all four payments are missed.
Afterpay: a fee after 10 days, and a finance-fee version
Afterpay's Installment Agreement says there are no finance charges or interest, then adds a late fee on an installment unpaid 10 days after its due date, never above state law. The weakness is a second product: a finance fee may apply to certain transactions, and Afterpay's example (a $110 loan, $27.50 down, three payments of $28.26) works out to about $2.28 of fee.
Zip: an upfront fee instead of interest
Zip charges an origination fee rather than interest: its example for this order is $8 on four payments of $102, and $18.97 on an 8-payment plan. Its customer agreement prints a late fee of $7.00, or the lower state amount. Zip's pages disagree on fee size, so the checkout figure decides. The weakness is that the $8 is due even when every payment is on time.
Sezzle: the longest fee table
Sezzle's fee table (effective 14 Aug 2026) prints a late fee of up to $16.95, a reschedule of up to two weeks for up to $7.50, and a failed payment fee of up to $6.95. Its Pay in 4 example is a $300 loan with $75 down plus a $7.49 service fee at 45.0% APR. Pay in 5 is printed at 0% APR with a paid subscription.
Chase Pay Over Time: a monthly fee that keeps running
Chase Pay Over Time after purchase turns an eligible purchase of $100 or more into a plan with no interest and a fixed monthly fee. The Chase Freedom Unlimited pricing page prints that fee as 0% during the 15-month intro purchase APR period and up to 1.72% of the purchase per month after that. Chase says the fee is charged every month until the plan is paid, even after a missed payment, and the card's late fee is up to $40. A plan cannot be changed or cancelled once created.
American Express Plan It: a fixed fee shown upfront
Plan It splits eligible purchases into monthly payments with a fixed fee disclosed before you confirm. The Blue Cash Everyday terms print the plan fee as 0% for the first 15 months after account opening and up to 1.33% of the purchase per month after that. The weaknesses: the purchase must be $100 or more, a plan cannot be cancelled after setup, and the card's late payment fee is up to $40.
Citi Flex Pay: fee or APR, depending on the plan
Citi Flex Pay turns eligible purchases into fixed monthly payments. The Citi Double Cash pricing details print a monthly plan fee for plans subject to a plan fee and a variable APR for plans subject to an APR. Citi's Flex Pay travel guide says that on Citi Travel, a customer who selects the Flex Pay box at checkout is enrolled in a 12-month plan with $0 fees and no interest. No standard plan lengths are printed, so the 12-month figure is an illustration.
Apple Card Monthly Installments: 0% APR, with exceptions
Apple's option is a 0% APR payment on eligible Apple products chosen at checkout: 24 months for an iPhone, 12 for an iPad, Apple Watch, Mac, Vision Pro or Studio Display, and 6 for listed accessories. Apple Card lists no late fee, but a footnote says late or missed payments add interest to the balance. The weakness is that taxes and shipping follow the card's variable APR. Our Apple Card review and Apple Card page cover the card itself.
What happens after a missed payment
The printed rules decide the cost, and they differ. Klarna retries once, then adds the payment to the next one with its fee, and says an unpaid balance may go to collections and you could be restricted from using Klarna. Afterpay waits 10 days before charging its fee and reserves the right to limit or suspend your account. Sezzle says you cannot make further purchases until the account is brought current.
Affirm says it may report late and missed payments to credit bureaus, and PayPal says missed Pay Monthly payments may affect a credit score. Providers word credit reporting differently, and no page promises a score outcome from paying or missing payments. On the card plans the plan stays active: Chase adds a past-due plan payment to the next minimum payment and keeps charging the plan fee, and Apple adds interest to the balance. For what a card charges on top, see credit card fees compared and credit card cash advance fees.
What the CFPB says about BNPL fees
The CFPB's answer page on buy now, pay later (BNPL) fees, last reviewed 30 Aug 2024, says many BNPL loans charge no interest but most charge late fees, and that each lender sets its own fees and policies. Its December 2025 market report, which surveyed six large firms, found that 4.1 percent of loans at the four firms that charge late fees were assessed one in 2023, down from 5.2 percent in 2022. Both pages describe the market in general and do not rate any service on this page.
Pay in 4, a longer plan or a 0% card?
Pay in 4 on Affirm or PayPal fits someone who wants no late fee and a short schedule. Klarna, Afterpay, Zip and Sezzle fit someone who expects every payment to land on time and accepts the printed fees if one does not. A longer plan fits a purchase spread over several months by a buyer who can accept a rate set by the lender.
A card with an intro 0% APR is a third route, and 52% of the cards we track list one. See best 0% APR credit cards, balance transfer cards and low-interest cards, or browse the credit card catalog and best credit cards. A fixed loan is another way to spread a cost: see best personal loans. Several providers may report to credit bureaus, so free credit score apps compared lists ways to see your file; best cash advance apps covers a different product.
Running several plans at once is the reader's own judgement: the caps apply per order, so each plan carries its own late fee.
FAQ
Which buy now pay later services charge no late fee?
Among the six pay in 4 services priced on 20 Oct 2026, Affirm and PayPal print no late fee. Affirm says it charges none, and PayPal's table lists none for Pay in 4 or Pay Monthly. Apple Card also lists no late fee on its installments, though Apple says late or missed payments add interest. Klarna, Afterpay, Zip and Sezzle all print one.
What are the Klarna and Afterpay late fees?
Klarna prints a late fee of up to $7.00 on a scheduled payment unpaid after 10 days, and Afterpay prints up to $8.00 per installment after 10 days. Both cap total late fees on an order at 25% of the purchase, and both can be lower under state law.
What else do Sezzle and Zip charge besides late fees?
Sezzle prints a reschedule fee of up to $7.50, a failed payment fee of up to $6.95, a late saver fee of $1.99 and a service fee of up to $7.49 on Pay in 4, plus optional subscriptions at $13.99 or $19.99 a month. Zip prints an origination fee, $8 in its printed example for this order, and a $2 fee to change a payment date after one free change a month.
Is buy now pay later interest-free?
It depends on the service and the plan. Klarna's page says pay in 4 is interest-free when you pay on time, while its agreement calls it a 0% APR loan with a late fee on missed payments. Zip and Sezzle print an upfront fee that they express as 34.75% and 45.0% APR in their examples, and Affirm's longer loans run 0% to 36% APR. Interest-free describes a specific plan, not buy now pay later as a whole.
How do card installment plans compare with pay in 4?
Card plans swap a late fee on the plan for a monthly fee. Chase (Freedom Unlimited terms) prints up to 1.72% of the purchase each month, Citi's pricing tables for its cards print up to 1.72% (not confirmed on the Double Cash page) and Amex up to 1.33% (Blue Cash Everyday terms), while Apple Card Monthly Installments is 0% APR on Apple products. Pay in 4 is shorter and charges per missed payment; Chase plans run 3 to 24 months and Amex prints 1 to 3 options, and both bill the fee every month on the original amount.
How we compared
We read each provider's fee page, terms or help pages on 20 Oct 2026 and priced one order three ways. Fees, caps, waiting periods and state notes are given as the providers print them. We did not apply for any plan or open accounts. Approval, limits and rates are decided by each lender at checkout and are not guaranteed.
Sources: Affirm terms and how it works; PayPal buy now, pay later page and Pay in 4 help article; Klarna Pay in 4 Agreement, Pay in 4, Pay over time, pay later and missed payments; Afterpay Installment Agreement, how it works, Pay Monthly and Pay Monthly disclosure; Zip how it works and customer agreement; Sezzle fees, how it works and User Agreement; Chase Freedom Unlimited pricing and terms and Pay Over Time FAQs; American Express Plan It, Credit Intel article and Blue Cash Everyday terms; Citi Double Cash page and Flex Pay travel guide; Apple Apple Card, Monthly Installments and eligible products; CFPB BNPL fees answer and December 2025 market report.
This is general information, not personalized financial advice. Financeradar may earn a commission from some links; it never affects rankings (how we make money).
Cite this: Financeradar, "Buy Now, Pay Later Fees Compared in 2026: Late Fees, Interest and Card Installment Plans", October 2026.
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Written by
Louis Corneloup
Founder & Editor-in-Chief at Financeradar. Founder & CEO of Dupple, the publisher of 6 newsletters reaching 890K+ subscribers. Researches US financial products using a public methodology, see /how-we-rate and /editorial-policy.
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