Eye On BNPL: Sezzle Speaks Spanish; Affirm Partners With Newegg

Buy now, pay later provider Sezzle Inc. has added Spanish-language capability to its app. The addition is expected to broaden Sezzle’s appeal among Spanish-speaking consumers in the United States.

There are more than 40 million Spanish-speaking consumers in the United States, according to Sezzle, while Spanish-speaking customers represent about 22% of the BNPL company’s users.

Financial technology apps are popular with Hispanics. Some 92% have adopted the apps, compared to 88% of Blacks, 79% of Asian Americans, and 74% of whites, according to a Brookings Institute study.

One reason Hispanics gravitate toward fintech apps is they tend to eliminate barriers that limit access to their technology, such as language, according to the Brookings Institute report. Many Hispanics are also turning to the apps to avoid high fees and because of negative user experiences with other apps, the report says.

In addition to BNPL loans, Sezzle offers opt-in credit reporting, which allows users to decide whether to have their repayment behavior reported to credit bureaus. Sezzle offers consumers Pay in 4, interest-free installment plans for use online and in-store.

“A Harris Poll survey reported that 1 in 10 consumers had their payments sent to debt collections last year, compared with just 1% of Sezzle users,” a Sezzle spokesperson says by email. “The ability to choose your credit-reporting preference benefits both sides of the equation. For those confident in their repayment habits, it’s an opportunity to build and enhance their credit scores. For others, it offers the flexibility to opt out of credit reporting entirely and avoid potential negative impacts.”

Meanwhile, ecommerce retailer Newegg Commerce, Inc., has partnered with BNPL platform Affirm Inc. to provide interest-free financing for purchases of $100 or more through the end of July. The promotion is part of Newegg’s 10th annual FantasTech Sale, which runs through July 19.

During the promotional period, customers placing orders of $100 to $999.99 may be eligible for 0% annual rate, 3-month financing, and customers placing orders of more than $1,000 may be eligible for 0% APR 6-month financing, the companies say.