PayPal Brings No-Fee Buy Now Pay Later Offering to Canada

Core Insights - PayPal has launched "PayPal Pay in 4," an interest-free, no-fee buy now, pay later (BNPL) solution for Canadian consumers, enhancing payment flexibility during the holiday shopping season [1][2][3] Consumer Benefits - Canadian shoppers can split eligible purchases ranging from $30 to $1,500 into four equal, interest-free payments over six weeks, with automatic payments available through various funding options [2][3] - The service aims to alleviate financial stress during the holidays, with no late fees, sign-up fees, or hidden costs, while also providing Purchase Protection for eligible transactions [3][4] Business Advantages - Businesses that offer PayPal's BNPL solutions can experience increased conversion rates and higher sales, with a 90% global approval rate and an 80% increase in order value [5] - The service is positioned as essential for businesses to meet consumer expectations, particularly during peak shopping seasons, helping to reduce cart abandonment [5][6] Consumer Spending Trends - According to PayPal's 2025 Festive Spending Survey, 74% of Canadians set a budget for holiday shopping, with 51% planning to spend the same as the previous year and 14% intending to spend more [6] - The survey indicates a growing interest in using BNPL for various categories, including appliances (31%), home décor/furniture (30%), and electronics (26%) [6] Holiday Promotions - PayPal is partnering with Cadillac Fairview to enhance the holiday shopping experience, offering festive activities and the chance to win prizes for customers using PayPal Pay in 4 [7]