The global pandemic has made mobile transactions with a trajectory of 80% and is going to reach $100B in 2025. Due to an increase in sales, this sector continues to be projected high in the coming years, too. So, the industry of e-commerce has seen growth after the surge of Covid. The E-commerce industry offers great flexibility to customers without any limitations under the buy now, pay later option. E-commerce and tech giants are investing in buy now pay later app development and securing big profit shares under the growing trend of BNPL mobile applications.

The advantage of the BNPL Mobile application to the consumer is that they can buy the more expensive items in instalments on a monthly to yearly basis. People can easily plan out their point-of-sale loan lending without any worry about the payments under a fixed time. 

In aggregation to this, millions of shoppers tied up with BNPL services to give better finance options to the customers and lift their business to a higher degree. 

Create Buy Now Pay Later App

This article makes you more enlightened about the buy now pay later services and its factors, how it works, how it benefits the consumers and the merchants, and features to keep in mind for the development. 

Buy Now Pay Later Mobile Apps – Quick Glance

Accessible, no-cost EMIs and transparent, BNPL is the wholesome service heading for the future of a great shopping experience. Few of companies worldwide and in India are reciprocating their market and services with the Buy Now Pay Later facilities to grant a feasible payment option and a brilliant alternative to credit cards. 

In this blog, we will discuss with you the Buy Now Pay Later app development services, working, features, and how it will eventually be one of the best options to attract more customers to purchase an item. This facility offers you repayment tenure and discards the fuss of credit cards. 

So let’s remain with us. 

Why Invest in Buy Now Pay Later App Development – Market Stats

Current BNPL Market stats for 2021-28

Buy Now Pay Later App Market
  • There has been a 45-times growth in the BNPL transactions in the last two years. This has caused many new leaders to get entered into this eye-catching option.
  • The size of the worldwide “buy now, pay later” market was assessed at USD 6.13 billion in 2022, and from 2023 to 2030, it is expected to expand at a CAGR of 26.1%
  • The global BNPL market was founded at the price of $90B in 2020 and is soon to be projected at $3.98T in the year 2030, with an annual growth rate of $45.7%.
  • After the pandemic, the top BNPL options in the market are Klarna, Paypal’s Pay in 4, Affirm, QuadPay, and AfterPay. 
  • Countries like Australia, New Zealand, Sweden, Germany, and the UK are the leading game players in the Buy Now Pay Later marketplace. The US is following them afterward. While in Poland, specific product purchases could be made with this option. 
  • Amazon and Apple partnered with Affirm and Square to buy Afterpay for $29B. 
  • Amazon joined hands with BharatPe to start this service in India. 
  • As per the survey, BNPL mobile apps is becoming popular among youth ages 18 to 24. 
  • Paypal has the maximum transit with the digital payment behavior transactions on the online services in the last year. 
  • Afterpay, the New Zealand domestic option has registered 3.4 million active users. 

Why are credit cards no longer the captivating solution?

For a long time, we have been benefiting ourselves with our favorite source of credit money. But with the hindrance crew of the information, this option would not be the only option we have. Credit cards have a lot of trouble with interest charges, higher rates of processing fees, input upfront personal information before any credits, etc., all are pitfalls.

Coming to the stats, the figures have fallen in recent years, with a considerable amount in the credit cards up to 4.1% in 2019. 

Read Also: Top Fintech App Development Companies

Here comes the role of the buy now pay later option. It facilitates huge alternatives for the user to pick from. These solutions are adhering with the maximum benefit to the customers with the point of sale loan BNPL, building a strong relationship with them, and escalating them to make purchases. 

How Does BNPL Rise Above Other Payment Options in the Market?

In the UK market, one out of every three e-commerce brands is likely to move for BNPL options. Why? Simple. Buy now, pay later facilitates the users to pay only a small amount of money or no money at the purchase, and within the appropriate time, users can choose the payments. Maybe the no-charge products end the traditional credit cards. 

The rise in the customer market yields for online payments across the world boosts the market of the BNPL. Slowly and steadily, this model digs its head and footprints to acquire more potential customers. 

What is the Buy Now Pay Later Model?

Buy-Now-Pay-Later, as the name implies, is the solution that confronts the users to buy anything within a single roof without any worry about the price. How could it be possible? Have you ever wondered? 

Yes, this factual model begins the rise in the no-fee purchase or pay in small installments. This is the phase where we all move towards automated solutions for payments with our comfort. Yes, technology brings us to a place where everything could be possible- just a tap is all we need. Hire app developers for digital wallet app development services.

How Buy-Now Pay Later App Works

Let’s understand the workings of the model with the best BNPL app present today: Klarna.

Klarna gives its users the option to choose from any of the products, add to buy, and forget to pay. Yes, you heard it right. This is how the model works.

  • Klarna offers you a 30-day option for easy, tussle-free payments. 
  • Another option is to pay with the small installment options (max 3-4). 
  • Add your card to the payment option; money easily gets transacted to the platform without any first-time fees. 
  • For every unique transaction, the merchant gets paid 2-6% of the commission plus the fixed fee/ transaction. 
  • However, if you want to choose the installment option more than the limit, make it financially. Through this, you can avail of the installment limit of 36 months. 
  • Online retailers and traditional brick-and-mortar retailers use this model for their business. 
  • Customers can pay by scanning QR codes. 

Key Features to Consider for the Buy Now Pay Later App Development

  • Instant Sign-up Process

At the time when a user comes to the platform, make sure that he would have to wait for a long time. The quick sign-up procedure makes everything speedy for him. A fast loan procurement process would be much delighted by the users and help you to grow. Users find themselves in trouble if they engage in the KYC steps. 

  • Quick Payment Methods

To surpass faster payments, you should provide multiple options to the customers. Bank transfers, debit or credit cards, or UPI methods could be more convenient for consumers. 

  • Transparent and Low-Cost Pricing Model

BNPL payment method offers small fees for the overpayment process that is performed at the user’s end after the purchase of the product. 

Using the BNPL service, the whole amount is broken down into easy installments without any charge up to 3-4 installments. While for the large installment time, BNPL charges a small number of fees. 

  • Loan Terms

Depending upon the type of BNPL service provider, they offer loans on a weekly or monthly basis, while some have extended it to a yearly basis. 

  • QR Scanning for the payments 

This aids the customers to pay without any swipe of the card. 

Also Read: How Much Does It Cost to Develop a Loan Lending App?

What Techstack Required for Buy Now Pay Later Mobile App Development

Programming Languages for BNPL Mobile App Development

Front-End Frameworks for Buy Now Pay Later App Development

  • React Native: A popular cross-platform framework for building mobile apps using JavaScript and React.
  • Flutter: Google’s UI toolkit for building natively compiled applications for mobile, web, and desktop from a single codebase.
  • Native Development: For the best performance and user experience, consider native development with Android Studio and Xcode.

Backend Development for BNPL Mobile App:

  • Node.js: A JavaScript runtime that is often used for building server-side applications.
  • Ruby on Rails: A web application framework that can be used for rapid development.
  • Python (Django/Flask): Python is another option for backend development, especially if you have Python developers on your team.

Database Technologies for Buy Now Pay Later App Development:

  • MySQL or PostgreSQL: These are popular open-source relational databases.
  • MongoDB: If you need a NoSQL database, MongoDB is a common choice.

3rd Party APIs Integrationinto BNPL Mobile App:

Implement APIs for payment processing, user authentication, and integration with e-commerce platforms. You might use third-party APIs for payment gateways like Stripe, PayPal, or Square.

Cloud Services for Buy Now Pay Later App Development:

AWS (Amazon Web Services), Google Cloud Platform, or Microsoft Azure for hosting and cloud services.
Use cloud services for scalability, data storage, and serverless functions.

Authentication and Security:

Implement robust authentication mechanisms using technologies like OAuth 2.0 for user logins.
Use encryption and security best practices to protect user data and financial information.

Push Notifications:

Implement push notifications to keep users informed about payments, due dates, and app updates. Consider services like Firebase Cloud Messaging or Apple Push Notification Service.

Top BNPL Apps to Inspire You to Develop One

Afterpay – One of the most popular Buy Now Pay Later applications worldwide is Afterpay. Users may buy both online and offline and pay for their products over a brief period of time in four interest-free payments.

Afterpay like BNPL Mobile app development

Klarna – A Swedish-based BNPL service called Klarna provides various payment alternatives, such as the choice to pay over time or in installments. In North America and Europe, it is commonly utilized.


Affirm – Affirm is a BNPL app that specializes in offering finance at the point of sale for various goods and services. It collaborates often with e-commerce platforms and provides clear payment conditions.


Sezzle – A BNPL platform called Sezzle serves both consumers and online retailers. It offers a “Buy Now, Pay Later” experience that enables consumers to make purchases and divide payments into several installments.


QuadPay (Now a component of Zip) – Consumers may get BNPL solutions through QuadPay, which is now a part of Zip (formerly ZipPay). It is widely recognized at several brick-and-mortar and online retailers and enables customers to divide payments into four installments.


Buy Now Pay Later App Development Cost

How Much Does IT cost to Develop Buy Now Pay Later Mobile App

An extensive range of variables, including features, complexity, platform (iOS, Android, or both), design, development team rates, and location, might affect the price of building a Buy Now Pay Later (BNPL) mobile app. While a more feature-rich, scalable app with enhanced security and connectivity might cost several hundred thousand dollars to over a million dollars, a simple BNPL app may start at roughly $50,000 to $100,000. To receive a precise cost estimate for your project, you must clearly specify your needs and request thorough bids from our fintech app development teams.

How to Reduce Buy Now Pay Later App Development Cost

  • Mind your BNPL app development budget and timeline.
  • Choose a reliable and experienced BNPL app development team
  • Clearly define your BNPL project goals and requirements.
  • Go For Remote App Development team to create a buy now Pay Later app.
  • Maintain clear and concise documentation for your project.
  • Stablish seamless communication among your development team, stakeholders, and third parties
  • Try to develop and launch an MVP BNPL app instead of a full-fledged app.
  • Plan well for scalability for future enhancement and footfall.
  • Start testing your mobile app from the early stages.

Best Practices – Buy Now Pay Later App Development

  • Implement the right solution.

Who is your target audience? This is the first perspective you need to consider. Keenly understand the market and any gaps, then implement where you are lacking, why customers are going through the early abandonment of carts, and how you can serve them well. 

Research the minute details of how long customers will take to buy the product. 

  • SDLC life cycle

This is the next important step for the buy now, pay later mobile app development. The best model will lay down your app productivity to another level. SDLC life cycle is the right methodology for your business. 

  • Use APIs 

Best API implementation is very important to integrate within the BNPL mobile app. BNPL is a very fusion prof model derived from the list of APIs like PaaS & SDKs in your project. 

  • Offer omnichannel experience to customers.

The omnichannel method has integrated multiple payment methods for the customers to give a great customer experience. Merchants can give NFC-enabled terminals for customers’ quick payments. 

Buy Now Pay Later App Development
  • Pinpoint the essential customer convenience.

Once you have identified the needs of customer experience, it’s easy for you to break out the stages into different development phases. Choose unique models for every requirement of the product. Establish an MVP for redefining the initial structure of the app. Take feedback in return from the customers. 

  • Development of Buy Now Pay Later App

Development of the BNPL app can be done with several factors. You can also outsource app development to a Fintech app company in case you have any financial limits, or hire a freelance app developer who has enough experience with the technologies required for the development or you can take the help of your in-house team. 

Everything depends on the cost and the time. Whatever way might be superlative for you, go with that. 

Testing may raise the final cost of the mobile app development. Prevails testing at various levels to ensure the maximum quality and productivity of the app. 

  • Security alignment

If your BNPL Mobile App Development cannot match the high level of protection, it could be a waste of time. Try to add as much layer of security, make it unbreakable for the hacker to break it. 

Set data encryption to avoid any failure at the end of the product build. 

  • Take care of the Payment regulations.

Online and secured transactions are a very crucial part of the app. The government has different rules and regulations in finance to improve the security alliance in the existing market. To hire mobile app developers must recheck twice that the data is placed properly under the set policies. 

  • Go after abandoned carts.

It’s not a great way to discard the customer’s choices after their purchases. After the successful development of the BNPL app, it is always a good way to engage your customers on your platform. Open your feedback channel and fetch them a scheduled weekly mail to validate your presence after the purchase. 

  • List the store on the BNPL platform. 

Place your store in the BNPL directories for the retailer to get a large amount of traffic from the existing resources. 

How Does The BNPL Mobile App Benefit The Retailers?

  • Higher Sales

Over the years, customers have limited their purchases for many reasons. They have credit cards with high interest rates, pulling them back for any transaction. But with the BNPL, the market has seen a positive impact on the conversion rates. 

This option encourages 20-30% of the buying customers. 

  • Better Customer experience 

In the highly competitive environment nearby, customers have a high sense of options to look into, while businesses can’t stick to outdated solutions to lure the people. To maintain the potency of customers on the platform, add some rewards or coupons, discounts, and other schemes to your app. 

  • Have strong customer loyalty.

Customers don’t want to dig into the vicious circle of buying and returning things. They get themselves irritated once they have found the platform complex for returns. 

Customers are likely to return their purchases when they find strict return policies. However, the cost sinking affects the gain, but it is one of the essential tools for driving business. 

  • High lifetime value for the customers

The customer value is driven by the fact that how many customers it attracts. The more options you provide to the customer, henceforth the more trust they show to you.

Also Read: How To Develop Marketplace App Like Wish – Cost And Features

BNPL is Fortunate for The eCommerce Industry

Bigcommerce adopted Klarna’s BNPL option to execute their belongings. Stormy Kromer and Revelry – big brands bring to their customers the BNPL option. 

Klarna, a leading online store, offers shops now pay later, and you can split your payments up to 4 interest-free installments from any device, so you have a choice to buy your choice of things and pay later. 

This brand consists of a wide variety of well-curated options for the user to look at. You can pick any of the products from the collection, whether it belongs to fashion, beauty, or gadgets. 

You may track your orders, save your exclusive money, find the deal, and tap to get the maximum discounts. So wait, not anymore, go get your BNPL option to crave anything. 

How Octal Can Help You in Buy Now Pay Later App Development

You will get many benefits and advantages when you hire an eWallet app development company to create your BNPL app. At Octal, we have a team of dedicated developers with in-depth knowledge of the BNPL mobile app market trends and technology and can deliver a solution that would easily drive sales.

Get Experience and Expertise

As you partner with Octal IT Solution, you can get experience and expertise. Our developers have worked on similar projects and can easily build such applications. Also, we understand the legal compliances and regulations around fintech applications that make your legal process easier. 

Focus on Your Core Business

You can take care of your core business and its marketing, and the development team from Octal will look into developing a flawless application. With a well-defined app development process, we ensure you do not need to invest much of your time and energy in managing the development process.  

Enjoy Global Standards

We partner with global business leaders and deliver them with the best-in-class solutions. Since we understand the market trends and have an international clientele, we do understand what apps work globally and how you can expand your business in the future. 

Maintain Privacy and Confidentiality 

You can trust us with your business idea. We sign an NDA before we begin working on your project. Thus, your project idea and other details are safe with us. 

Final Thoughts

Slowly and steadily, the e-commerce market has seen a whopping figure in online shopping, which motivates new developers to develop great mobile solutions and experiences.

Most companies are looking for a BNPL mobile application development company to offer BNPL solutions to the market. Why? The reasons are simple: BNPL is a convenient and fast way to serve instant loans to consumers. If you, too, are planning to have your app that has to follow transparent security alliances, rules and regulations, and, most importantly, conventions for the users, you should hire a skilled team that fits all of the terminologies. 

FAQ – Buy Now Pay Later Mobile App Development

How do I create a Buy Now Pay Later app?

You cannot build a BNPL app on your own. To create a BNPL app simply hire a fintech app development company that holds expertise in building such applications.

How much does it cost to develop a BNPL app?

To develop a BNPL app with basic feature set and no complex functions would cost around $50,000 to $100,000. As the complexity of the app and the features grow, the cost of app development can be around $75k to $90k.

How do Buy Now Pay Later make a profit?

A BNPL app lets you manage your expenses and purchase goods by splitting the transactions into smaller, interest-free installments. Thus, users can buy things they can’t afford at a particular moment and pay for it later when they have the money.

Who are the biggest players in BNPL?

The top players in the BNPL market that are making amazing profits are: 
Afterpay, Klarna, Affirm, Latitude, Splitit

How to ensure BNPL mobile app security?

To ensure BNPL mobile app security, the developers, merchants, and end customers must be careful. A few points to look for are: 
Encrypted Messages 
Login Authentication 
User Verification 
Advanced Tech Stack 
Regulations and Compliances 
Data Inconsistencies.
Device Hygiene and Reputation.

BNPL Mobile App Development
Project Manager

Priyank Sharma is a tech blogger passionate about the intersection of technology and daily life. With a diverse tech background and a deep affection for storytelling, he offers a unique perspective, making complex concepts accessible and relatable.

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