What Is Sezzle, and Why Is Everyone Talking About It?

If you’ve purchased anything online recently, you’ve likely come across the option to buy now and pay later (BNPL). Sezzle is one of the leading names in this space, offering consumers the chance to split their payments into interest-free installments. The idea? Convenience. And, perhaps, a bit of relief from financial stress.

Sezzle makes it easy for people to say yes to a purchase without worrying about shouldering the expense in one go. Their model is pretty straightforward—break down payments into four interest-free installments spread out over six weeks, as long as you pay on time. For some consumers, it’s been a lifeline. For others, it’s just a nice-to-have tool in their financial toolkit.

Why Are Buy-Now-Pay-Later Apps Becoming So Popular?

The concept of splitting payments isn’t new. Layaway plans, credit cards, and store-specific financing have been around for decades. However, BNPL apps have emerged as something different. They’re fast, easy to set up, and don’t necessarily involve a hard credit check.

Apps like Sezzle have caught on because they offer flexibility, making them appealing to younger consumers who are looking for alternatives to traditional credit cards. But as with anything, this trend is about more than just the product; it’s about how accessible it feels. The user-friendly interfaces, clear payment schedules, and perceived lack of risk make these apps incredibly attractive.

Other Apps Like Sezzle That Are Changing the Game

If you’re curious about other tools in the BNPL space, here are some names that are quickly becoming just as recognizable as Sezzle.

1. Afterpay

Afterpay, like Sezzle, lets users split payments into four interest-free installments. Where it really shines is its ubiquity—many big retailers already partner with Afterpay, and their system seamlessly integrates into online checkouts. The app also offers a rewards program for shoppers who pay on time.

2. Klarna

Klarna offers multiple payment options, including pay-in-4, monthly financing, and even a pay-in-30-days model. Their slick app also provides price tracking and exclusive deals, blending shopping and financial management. Klarna users are often drawn in by the brand’s millennial-focused marketing and its broader range of options.

3. Affirm

Affirm stands out in the BNPL market with its transparent pricing. While not always interest-free (depending on the retailer), Affirm doesn’t charge late fees, making it a slightly different but comparably user-friendly app. It’s also available for bigger-ticket items, extending terms up to 48 months for select purchases.

4. Zip (Formerly Quadpay)

Zip, much like Sezzle, splits payments into four interest-free installments. Its hallmark feature is versatility—consumers can use the app online, in-store, or even to pay bills. With its widespread acceptance, Zip provides users with more ways to manage their spending.

5. PayPal Pay in 4

PayPal’s entry into the BNPL world is a natural evolution for the payments giant. With Pay in 4, existing PayPal users can quickly split purchases into four equal payments. The convenience of using a recognized platform is drawing many Sezzle users over to PayPal’s offering.

How Do These Apps Make Money?

When you’re using a BNPL app like Sezzle or Afterpay, you might wonder—what’s the business model? With no fees for on-time payments and interest-free installments, how are these companies profitable?

Here’s the thing: they rely primarily on merchant fees. Retailers pay these apps a percentage of the sale, seeing it as a trade-off for reduced cart abandonment and increased overall sales. Some apps also generate revenue through late fees or interest charges on overdue payments, though these typically apply only when users stray from the agreed payment timeline.

Are BNPL Apps Right for You?

Here’s the honest truth: BNPL apps are a tool, not a solution. Used responsibly, they can help you manage your finances, spread out the cost of a big expense, or make cash flow a little less tight during a lean month. But they’re not foolproof.

Late payments can result in fees, and frequent use could lead to overextending your budget. Additionally, these apps don’t always build credit like a traditional credit card, so they’re not necessarily a pathway to stronger financial health.

Ultimately, apps like Sezzle, Afterpay, and Klarna succeed because they meet consumers where they are. In an age where convenience is king, they’re part of a tech-driven ecosystem that’s making financial transactions feel as smooth as swiping on your phone screen. But as always, the tech is only as good as the choices it enables.