What is Affirm?
Affirm is a flexible financing alternative to traditional credit cards and other credit-based payment products. It offers instant financing for online purchases, allowing you to pay for your purchase in fixed monthly installments over a period of 3, 6, or 12 months. With Affirm, you can make your purchase today and spread the cost over time without the need for a credit card.
How Does Affirm Work?
When you choose Affirm as a payment method, you will be guided through an easy application process. Affirm performs a soft credit check to determine your eligibility for financing, but this does not impact your credit score.
- If you are approved, you will receive an offer detailing the payment terms, including the interest rate (if applicable) and the repayment period (either 3, 6, or 12 months).
- Once you accept the offer, you can complete your purchase and start paying in the selected monthly installments.
Impact on Your Credit Score
While the application process itself does not affect your credit score, using Affirm can impact your credit score depending on how you manage the loan.
- On-time payments: Paying on time and in full can help build a positive credit history.
- Late payments: Failing to make payments on time may negatively affect your credit score.
It's important to stay on top of your payments to ensure that you maintain a healthy credit profile. Affirm offers the flexibility to choose a payment plan that works for your budget, giving you control over your finances.