Paloma offers buy now pay later options through our payment processor, Stripe, including: Affirm, Afterpay/Clearpay, and Klarna. Each of these have their own stipulations including transaction fees, order value minimum and maximums, and other regulations.
In this guide we'll cover how to add these to your Paloma Shop, how much they cost, and when and how your customers can select them at checkout.
Table of contents
How to enable payment plans for your Paloma Shop
Payment plans including Affirm, Afterpay/Clearpay, and Klarna are available to Paloma Shops on the Professional Plan.
To request these for your Shop, please contact us through the Help button in the bottom right corner of the Paloma app or app.getpaloma.com to start a chat, or email us at support@getpaloma.com.
How they work
Affirm
Affirm is a popular payment method in the US and Canada that gives your customers a way to split purchases over a series of payments. Pay in 4 interest-free installments or in monthly installments of up to 36 months.
To pay with Affirm, customers are redirected to Affirm’s site, where they authorize the payment by agreeing to the terms of a payment plan, then return to your Paloma checkout to complete the order.
Affirm offers payment options based on factors such as customer credit, prior account history, order amount, and the type of goods or services being underwritten. After payment acceptance, the full amount of the order (minus fees) is made available to your Stripe account upfront, and Affirm collects the purchase amount from your customer, who repays Affirm directly over time.
Payment options include:
Afterpay/Clearpay
Afterpay is a global payment method that allows your customers to split purchases into 4 interest-free installments, or longer term interest-bearing monthly installments (US only).
To pay with Afterpay, customers are redirected to Afterpay’s site, where they authorize the payment by agreeing to the terms of a payment plan, then return to your website to complete the order.
Afterpay offers payment options based on factors such as customer credit, prior account history, order amount, and the type of goods or services being underwritten. After payment acceptance, the full amount of the order (minus fees) is made available to your Stripe account upfront, and Afterpay collects the purchase amount from your customer, who repays Afterpay directly over time.
Payment options and limits:
In the US, Afterpay presents customers with Pay in 4, monthly installments, or both options.
Pay in 4: customers pay for purchases in four or fewer interest-free, bi-weekly payments over a 6 week term.
Monthly installments: (US only) customers pay for purchases over a 6 or 12 month term that includes capped interest.
Afterpay collects the first installment from the customer immediately, and the next installment either 2 weeks or 1 month after, depending on the payment schedule. You can accept payments from customers in the same country that you registered your Stripe account. Payments must also match the local currency of the country.
The following table lists total transaction limits and installment schedules by country:
Klarna
Klarna is a global payment method that gives customers a range of payment options during checkout. These payment options make it convenient for customers to purchase items in all price ranges.
To pay with Klarna, customers are redirected to Klarna’s site, where they select their preferred payment option, then return to your website to complete the order.
Klarna presents payment options based on the customer’s billing address and transaction amount. After payment acceptance, the full amount of the order (minus fees) is made available to your Stripe account up front, and Klarna collects the purchase amount from your customer, including any future installment payments, if applicable.
Payment options include:
Pay in 3 or 4 (also known as Installments): customers pay for the purchase in three or four interest-free payments.
Monthly installments (also known as Financing): customers pay for the purchase over a longer term of up to 36 months, which might include interest.
Pay later: customers pay for the purchase in a single payment in 30 days.
Pay now: customers pay for the purchase immediately using a linked card, bank debit, or bank transfer.
Any trouble? Questions? We're here to help!
Use the Help button in the bottom right corner of app.getpaloma.com to start a chat, or email us at support@getpaloma.com.
If you have further questions about whether tax legislation applies to you, then you should contact US state tax authorities or a local tax professional.