Consumer Financing is the action of merchants providing consumers with the option to finance their purchase at the checkout through immediate Point of Sale “Consumer Financing”. Merchant’s that offer POS Financing see higher conversion rates, up to 45% increase in average order values and 35% increase in site-wide revenue lift. Consumers’ financing is one of the more effective methods of allowing consumers to buy now and pay later without having to amass debt on their credit cards.
Consumer Point of sale financing is a quick solution to mid to high dollar value checkouts. Consumers get the items they want, without racking up a huge credit card bill. Instead, they’re instantly approved for financing that’s applied directly to their cart. Rather than spending big bucks outright, they’re able to pay back their purchase in affordable buy now pay later installments over time.
The concept isn’t novel—financing has always existed for big-ticket items like appliances, furniture, jewelry and more. What is new, is the instant financing available through checkout online. As retailers of high-priced goods take their commerce online, checkout financing is the easiest way for them to bring financing options to customers there.
