Paypal's Bill Me Later Service To Buy On Credit Without A Credit Card

Using a credit card online may be unnerving for some people, especially those who have been victims of identity theft. Also, many people just don't like to give out their personal information online.  More and more merchants are using PayPal's Bill Me Later service to satisfy those customers online.  Customers who like shopping online, without the extra added risk and sometimes inconvenience of having that 16 digit credit card number handy, love Pay Pal's Bill Me Later service because can shop with peace of mind.  The customers get what they want, and the merchants often get an increase in sales because of this most convenient service from Pay Pal.  It is a business win win situation.


What Is PayPal? (For Those Who Really Don't Know)

PayPal is owned by eBay and Bill Me Later is one of its primary services. The PayPal service allows it's memebers to receive and send money without having to give out any personal and financial information.  All you need is an email address.  It is by far one of the fastest and easiest ways to pay someone, send money, buy goods and services and get money sent to you online.  PayPal Operates worldwide in over 190 markets and uses about 24 currency conversion systems.  It boasts 81 million accounts currently in 2012 and is steadily growing. Many people also take advantage of the PayPal debit card if they do not want money deposited in their bank accounts.  PayPal offers many different options for both businesses and individuals when it comes to collecting and sending money online.  They also have rigid guidelines in place to prevent illegal activities such as money laundering.


What Is Bill Me Later Through PayPal?

As stated above, Bill Me Later is one of PayPal's primary services.  It is a great option for merchants and customers to do business without hassle.  The service allows customers to pay for their goods and services without using a credit card. Bill Me Later was founded in 2000 and operates through WebBank, of Salt Lake City, Utah.  The company was purchased by eBay in 2008. You see this option every time you buy something on eBay or 1000 plus other online merchants.


How Does PayPal's Bill Me Later Service Work?

The Bill Me Later Service works two ways

1) At Checkout with one of it's Merchants including eBay

When you choose the Bill Me Later option on the merchant's website, you will be asked some brief questions and a "real-time" credit decision is made at that point.  Upon checkout, after providing your birth date and the last four digits of your social security number and accepting the terms and conditions of that particular merchant, you are done.  You will then receive a bill in the mail with flexible monthly credit payments on your purchase.  Your payments are deferred for at least 25 days.


2) Go To the Bill Me Later Website And Shop!

You can go to the Bill Me Later shopping site, and shop using the Bill Me Later option with over 1000 different merchants online.  The process is still the same.  You will still need to go through the very quick credit approval process and then you purchase your items online, and then get the items sent to you.  You will be billed with easy monthly installments that are deferred for at least 25 days.

Unlike other forms for Buy Now Pay Later purchases, Bill Me Later doesn't state whether it caters to customers with bad credit.  You can easily find out if you qualify for deferred billing through the Bill Me Later Plan by going through the process outlined above.


Who Are Some Of The Online Merchants Who Use PayPal's Bill Me Later?

Some of the merchants who use this service include some of the biggest names in both online and brick and mortar retail.   The List of retailers include some big names like

  • NutriSystem
  • Apple Store
  • Hotwire
  • HP

These are just a few of the over 1000 merchants that use the Buy Now Pay Later option through PayPal. 


Is The Buy Now Pay Later Service and Practice New?

For PayPal and eBay perhaps.  Even those this service has been available since 2000, it is still considered new by industry standards.  The Buy Now Pay Later service is however, not a new concept.  It is the way many merchants do business and it was the way most merchants and customers did business before the emergency of the credit and bank financing industry. 

Before World War II and the development of our current system of lending credit and charging interest, merchants would extend credit directly to their customers and those customers would pay them back with installments.  At that time, there were online small local credit bureaus and the merchants only reported those who did not pay their bills to the very local credit bureaus.  As people become more mobile, enter the banks and financial industry who now develop systems so people can use credit while they travel.  This also means that the small local credit bureaus would now combine and mobilize into national credit bureaus.  Thus the financial industry and the national credit bureaus have taken over the borrowing and lending relationship between merchants and their customers.

What PayPal and a lot of other Buy Now Pay Later no credit check merchants are doing is really going back to the way things used to be.  Some buy now pay later options, like PayPal's deferred billing option still uses a credit check  but many buy now pay later catalogs and websites do not do a credit check or use a very relaxed standard. Thus people with prime credit, meaning credit above 700 and people with subprime credit, meaning credit below 600 can both enjoy shopping on credit with these buy now pay later online shopping options.

Other Deferred Billing Articles
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  2. Buy Clothes Now Pay Later
  3. Buy SHOES Now Pay Later
  4. Bill Me Later Computer Purchases