Affirm, the American fintech company known for its buy now, pay later (BNPL) services, has officially launched its installment loans in the United Kingdom, marking its first entry into international markets.

Aiming for the UK Market

Affirm aims to capture a significant share of the UK market, which CEO Max Levchin describes as a "huge market" with strong demand from local merchants.

Intense Competition in the BNPL Sector

Affirm's entry into the UK market comes at a time of intense competition within the BNPL sector, with established players such as Klarna, Block's Clearpay, Zilch, and PayPal already making significant inroads.

Distinct Advantage with Unique Offerings

However, Levchin believes that Affirm's unique offerings, including longer financing terms of up to 36 months, provide a distinct advantage.

Driven by Extensive Market Research

The decision to launch in the UK was driven by extensive market research and outreach to local merchants, with the company receiving overwhelming interest from potential partners.

Future Expansion into Other International Markets

Affirm plans to explore opportunities in other international markets in the future, building on the success of its UK expansion.