PayPal installment payment: interest rates, conditions and more
Now it's official: German PayPal customers will soon be able to make use of installment payments with the online service provider. Our guide summarizes the conditions and interest rates.
The PayPal installment payment is supposed to be fast and convenient, but unfortunately not cheap.
Germans are not averse to installment payments either. PayPal now fulfills the desire and raises for it proud interest.
PayPal: installment payment with high interest
Here are the key facts about PayPal installment payment:
- The installment payment is possible for a purchase value of 199 to 5,000 euros.
- The credit rating is checked in real time and does not take long.
- The term is set at twelve months.
- The loan is repaid monthly.
- The interest rate is 9.99 percent (eff. Annual interest rate).
The borrowed money thus comes at a proud price - just under 10 percent interest is nowadays a lot and should move many interested parties to look around rather for another lender. After all, loans are cheaper than ever because of the low-interest period; consumer loans are available from many financial institutions for under 5 percent.PayPal, on the other hand, seems to be relying on trust and convenience to attract customers nonetheless. After all, the service is very popular and widespread in Germany. Anyone who shops with PayPal and can activate an installment payment with just one click could well be tempted. Borrowing from an external provider is namely associated with a lot of effort and waiting time, and that's exactly what PayPal wants to exploit.