Consumer consumer credit affirm announced on Wednesday a partnership with American Airlines that will allow travelers to book flights now and pay over time.
“Although consumers are as eager as ever to get away, they are aware of having to fit travel into their budget,” said Silvija Martincevic, Affirm’s chief commercial officer. “According to a recent Affirm poll, 74% of Americans say they will spend more than ever on travel this holiday season, while 60% fear they can’t afford to travel the way they want to . “
Affirm enables customers to pay off purchases over time. The interest rates range from 0% to 30% (depending on creditworthiness) and, unlike most credit cards, the interest rates are fixed and do not add interest. This allows you to see your monthly installments and interest in advance. And that means that no interest accumulates – like with a credit card.
Affirm says it supports installment payments for 29,000 merchants, including Amazon, Target, Vrbo, and Walmart. American Airlines is the first airline to use the service for flights.