Afterpay has launched a travel buy-now-pay-later platform, called “Play,” which could see Aussies paying off their holidays in weekly or fortnightly instalments.
The platform, which is created in partnership with accredited travel agent LayAway Travel, is offering package trips to locations such as Bali, the Gold Coast and Whitsundays. It also offers trips to the Great Wall of China, Mount Everest and a Melbourne brewery tour.
Afterpay group head David Hancock told news.com.au the expansion allowed holiday-makers to be in better control of their finances and not burdened with credit card or personal loan debt after the trip.
“We had a lot of communication from our customers saying they really wanted Afterpay available in a form that helped them to responsibly budget for travelling,” he said.
Users decide whether they want to pay weekly or fortnightly, with the usual Afterpay fees of $7 per missed payment charged. Missed payment fees cap out at five missed payments – $35. Be warned: If you miss more than five payments then you could have your holiday cancelled and find yourself slugged an additional $55 as a cancellation fee.
It was recently highlighted that Afterpay took 20 per cent of its incomes from late fees.
Hancock said the brand new concept was an expansion on current offerings with airlines such as Jetstar.
“What’s very different about what we’re doing with Play is that we’re using our buying power with Layaway to put together really unique destinations but broken down to small bite-size pieces that people pay off before they travel,” he told news.com.au.
This is not the first expansion of the business into uncharted lands. Late last year Afterpay struck a deal with ASX listed dentistry firm Smiles Inclusive to offer buy-now-pay-later options at its 52 practices. Afterpay now has partnerships with four dental chains.
The company shows no signs of slowing down in its customer acquisition strategy.