{"id":31347,"date":"2022-09-21T13:41:00","date_gmt":"2022-09-21T10:41:00","guid":{"rendered":"https:\/\/www.x-cart.com\/?p=31347"},"modified":"2024-12-25T16:13:50","modified_gmt":"2024-12-25T13:13:50","slug":"paypal-pay-monthly-payments-for-auto-parts-store-2","status":"publish","type":"post","link":"https:\/\/www.x-cart.com\/blog\/paypal-pay-monthly-payments-for-auto-parts-store.html","title":{"rendered":"3 Undeniable Benefits of PayPal Pay Monthly Payments for Your Auto Parts eCommerce Store"},"content":{"rendered":"\n

For an automotive aftermarket online business, being adaptable and resilient is crucial. Much like flex-fuel vehicles designed to run on more than one type of fuel, auto parts stores that offer personalized payment methods outperform the competition through their flexibility. <\/p>\n\n\n\n

Adding one or several Buy Now Pay Later (BNPL)<\/a> options to your checkout is a clear win. With 22 million PayPal customers<\/a> already tapped into the Pay Later option<\/a> and a recent launch of a new Pay Monthly loan, we can safely say that PayPal consumer financing is gaining momentum.  <\/p>\n\n\n\n

In this blog post, we’ll break down what PayPal Pay Monthly is, cover how it differs from the Pay in 4 payment plan, and highlight its main benefits for an auto parts online store. Let’s get this show on the road right away!<\/p>\n\n\n

\n What Is PayPal Pay Monthly? <\/h2>\n\n\n\n

Starting June 2022, the PayPal Credit option is no longer offered within the Pay Later consumer financing replaced by Pay Monthly. As the name suggests, Pay Monthly<\/strong> is an installment payment plan with flexible monthly payouts designed to match shoppers’ long-term budgeting preferences.<\/p>\n\n\n\n

Unveiled as part of PayPal Pay Later offering, Pay Monthly is available to customers as a payment option at the online store’s checkout. They can opt to use either a debit card or a bank account for repayment and manage their payments through the PayPal app or online with the benefit of autopay.<\/p>\n\n\n

\n\n

Side note<\/strong>: Unlike interest-free, short-term loans offered by Pay in 4<\/strong>, PayPal monthly installments are subject to credit approval. If approved, shoppers will have three different payout options with a 6-month, 12-month, or 24-month repayment period. For these loans, PayPal charges APRs ranging from 9.99% to 29.99% based on consumer credit eligibility. The lender for Pay Monthly is Webbank<\/a>.<\/p>\n\n<\/div>\n\n\n

For online sellers, Pay Monthly is key to a higher customer lifetime value (CLV) and a healthy bottom line.<\/p>\n\n\n\n

And here’s why.<\/p>\n\n\n\n

According to Greg Lisiewski<\/a>, Vice President of Global Pay Later Products at PayPal, the company rolled out this new BNPL product to align with the growing shoppers’ demand for flexibility in paying for large purchases.<\/p>\n\n\n\n

To a certain extent, Pay Monthly is PayPal’s response to the current economic challenges that American consumers now face. Whereas the overall price spike urges customers to keep a tight hold on their wallets, the new service is a solution to the inflation-related<\/a> decline in consumers’ purchasing power.<\/p>\n\n\n

\n
\n \"Average<\/picture>
\n Source: Deloitte Insights<\/em><\/a> <\/figcaption>\n <\/figure>\n <\/div>\n \n\n\n

With PayPal Pay Monthly, shoppers are incentivized by the convenience of paying for big-ticket purchases over time, while merchants get paid upfront with no additional risk or fees. This makes PayPal Pay Monthly a win-win deal for customers and sellers alike.<\/p>\n\n\n

\n
\n