Out-of-pocket healthcare and wellness expenses continue to rise, making flexible payment plans increasingly important for both patients and providers. Buy now, pay later (BNPL) apps like Klarna and Afterpay allow consumers to split a purchase into smaller installments rather than pay in full upfront. While these platforms are widely used across online stores, small businesses, and major retailers, their short repayment periods and low loan amounts make them less practical for medical financing.

For patients, BNPL services can make smaller expenses more manageable. For practices, they may help reduce upfront cost barriers and improve treatment acceptance — but limited loan amounts, short repayment terms, and a lack of healthcare specialization often make them unsuitable for higher-value medical or wellness procedures. Here’s how Klarna and Afterpay compare, and which alternatives offer better options for financing care.

How Afterpay Works

Afterpay is one of the most popular BNPL platforms worldwide, known for its simple, short-term Pay in 4 model. This plan divides the purchase amount into four equal, interest-free payments every two weeks, making it ideal for smaller everyday expenses. Payments are linked to a debit card, credit card, or bank account, and the first installment may be required at checkout.

To determine spending limits, Afterpay conducts a soft credit check during signup — this does not affect credit score. For its standard Pay in 4 program, there are no hard credit checks. However, customers applying for Pay Monthly, a longer-term loan option available at select retailers, may undergo a hard credit inquiry through a partner lender. These Pay Monthly plans may include interest, but Afterpay’s traditional short-term plans remain interest-free and do not use deferred interest.

Each user’s spending limit is dynamic and adjusts over time based on payment history and account activity. While some consumers begin with a lower limit, it can increase with consistent on-time payments. Late or missed payments result in fees that vary by region, but Afterpay charges no annual or origination fees.

Afterpay’s BNPL solution can be used online, in-store, or through its user-friendly mobile app — available on iOS and Android — which issues a digital card for seamless checkout. It’s widely available in the U.S., Canada, Australia, and New Zealand, and is accepted at thousands of retailers. Still, its limited loan amounts and short repayment period make it less practical for large medical or wellness procedures that require higher funding or extended terms.

Key Takeaways — Afterpay

• Pay in 4: four bi-weekly, interest-free installments
  
• Soft credit check for Pay in 4; hard credit check possible for Pay Monthly at select retailers
  
• Late fees for missed payments
  
• Dynamic spending limits; no publicly set limit
  
• May require a down payment
  
• Integrations with Shopify, Squarespace, Amazon, and others
  
• Best for small wellness or aesthetic purchases; not ideal for large procedures

How does Klarna work? 

Klarna, another of the world’s most recognized buy now, pay later services, is available through hundreds of thousands of retailers and e-commerce platforms. It gives shoppers the flexibility to spread their payments over time using a variety of options — most commonly Pay in 4 — but also Pay in 30 Days and Pay Over Time for longer-term financing.

• Pay in 4: With Klarna’s Pay in 4 plan, shoppers split purchases into four equal, interest-free installment payments every two weeks. The first of the four payments is typically due at checkout.
  
• Pay in 30 Days: With the Pay in 30 Days option, shoppers can use Klarna to claim their product or service upfront, then pay the full amount in 30 days — also without interest.
  
• Pay Over Time: For higher order values, Klarna’s Pay Over Time plan provides structured monthly installments, typically from 6-36 months, with a fixed APR between 0.00% and 35.99% depending on creditworthiness and promotional terms.

To determine eligibility, Klarna performs a soft credit check for Pay in 4 and Pay in 30, which does not hurt credit score. For Pay Over Time loans, Klarna may conduct a hard credit check through its banking partner, WebBank. These loans include fixed interest — not deferred interest — so borrowers never face retroactive interest charges. Late or missed payments can incur fees, and Klarna does report Pay Over Time loans to credit bureaus (but not short-term plans), meaning delinquency could affect a borrower’s credit report.

Klarna supports traditional payment methods like Visa, Mastercard, and debit cards, and also integrates seamlessly with Apple Pay and major e-commerce platforms like Shopify. To streamline the payment process even further, Klarna offers the Klarna Card — a Visa card that lets users make purchases anywhere Klarna is accepted while using the company’s BNPL services.

While Klarna offers flexible payment methods and a smooth checkout experience, it’s primarily built for retail and online purchases. Klarna’s fees for merchants and lower spending limits (known as “Purchase Power” in a Klarna account) make it less suitable for healthcare financing, where patients often need larger loan amounts, longer repayment terms, and truly interest-free plans.

Key Takeaways — Klarna

• Pay in 4 and Pay in 30: interest-free short-term installments
  
• Pay Over Time: monthly loans (6–36 months) with fixed APR from 0.00%–35.99%
  
• Soft credit check for short-term plans; hard credit check for long-term loans
  
• May require a down payment
  
• Offers cashback rewards program and other perks at participating retailers like Sephora and Nike (requires paid membership)
  
• Klarna payments are reported to Experian and TransUnion for Pay Over Time loans only
  
• Best for smaller retail or e-commerce purchases; not ideal for healthcare procedures

Klarna vs Afterpay: At-a-Glance Comparison

‍

‍

Afterpay and Klarna Alternatives

While Klarna and Afterpay make everyday purchases easier to manage, their short-term payment plans and low loan amounts limit their usefulness for larger purchases in healthcare. Patients often need longer-term repayment flexibility, higher limits, lower fees, and predictable payment options. Below are several leading BNPL providers and healthcare financing options that offer payment solutions tailored to both patients and practices.

Cherry Payment Plans

Cherry was created to make healthcare more accessible without the stress or confusion of traditional financing. Unlike general BNPL apps that focus on retail, Cherry is built exclusively for medical, dental, plastic surgery, dermatology, veterinary, and aesthetic care. Patients can apply in seconds with a soft credit check, get an instant decision, and finance up to $50,000 in treatment, all without impacting their credit score.

If approved, borrowers can choose between a short-term, interest-free Pay-in-4 option or longer-term monthly installments with true 0% APR for qualified borrowers. Every plan is transparent: no deferred interest, no surprise service fees, and no compounding costs. The first payment is made at the time of purchase, and the rest are spread evenly — helping patients move forward with confidence.

For practices, Cherry provides an important advantage: patient approvals are specific to the practice where they apply. This ensures financing is tied directly to your office, helping secure treatment acceptance and strengthen patient loyalty. Combined with upfront payment, low merchant fees, and high approval rates, Cherry helps practices improve cash flow, strengthen patient relationships, and simplify the payment process.

Key Takeaways — Cherry

• 60-second application with soft credit check and instant approval decision
  
• 80%+ approval rate across credit profiles
  
• BNPL loans up to $50,000 for larger purchases
  
• True 0% APR for qualified borrowers — no deferred interest fees
  
• Flexible repayment options — Pay-in-4 or extended monthly plans up to 60 months
  
• Upfront payment to providers and the lowest merchant fees in the industry
  
• Dedicated customer support team to answer financing FAQs
  

Sunbit

Sunbit makes financing accessible for patients who may not qualify for traditional credit, offering higher approval rates for those with lower credit scores. It’s now widely used across dental, vision, and veterinary offices, where quick decisions and flexible repayment terms make a big difference.

Patients can prequalify in seconds through a soft credit check — there’s no impact on credit score — and most applicants receive an approval. Loan amounts typically go up to $20,000, with repayment terms that range from 3 to 72 months.

Though Sunbit offers interest-free promotions, many rely on deferred interest. That means if you don't pay off your full balance by the end of a promotional period, or if you miss a payment during that time, you'll be charged retroactive interest on the entire original amount.

For practices, Sunbit offers streamlined digital functionality and fast approvals at the point of care. Providers receive upfront payment, reducing financial risk, though merchant service fees typically start around 4.7%. While not built exclusively for healthcare, its ease of use and high approval rates make Sunbit a practical option for mid-range procedures and everyday wellness expenses.

Key Takeaways — Sunbit

• Point-of-sale financing up to $20,000 for dental, vision, and veterinary services
  
• High approval rates for borrowers with low credit scores
  
• Soft credit check for prequalification; no impact on credit rating
  
• Equal installment options with flexible payment terms (3–72 months)
  
• Many interest-free promotions rely on deferred interest
  
• Fast digital application process with upfront payment to providers
  
• Merchant fees higher than competitors, starting around 4.7%
  
• Works well for medium-cost or routine healthcare expenses

Affirm

A leader in buy now, pay later apps, Affirm is known for its simple application process and upfront transparency — clearly disclosing all interest, fees, and terms at checkout to give borrowers full visibility into the total cost of their purchase.

Patients can apply directly at checkout with a soft credit check, so eligibility can be determined without affecting their credit score. Depending on creditworthiness, loan amounts can reach up to $17,500, with repayment terms typically ranging from 3 to 36 months. Some borrowers may qualify for 0% APR, but most pay a fixed interest rate between 0% and 36% depending on their credit history. Affirm does not charge deferred interest, compound interest, or fees for payments made past the due date. Borrowers only pay the agreed-upon amount over the course of their installment plan.

Affirm is widely integrated across e-commerce platforms like Shopify, and works with retailers such as Amazon, Walmart, and Apple Pay. However, it’s primarily designed for consumer retail and online shopping, not healthcare. For practices, the high merchant fees (often around 5.99% + $0.30 per transaction) and relatively low maximum loan amounts make Affirm less practical for financing larger procedures or ongoing wellness treatments.

Key Takeaways — Affirm

• Retail-first BNPL platform with transparent pricing and no hidden fees
  
• Loan amounts up to $17,500 with terms from 3–36 months
  
• Fixed APR between 0%–36%, depending on creditworthiness
  
• Soft credit check for application; no impact on credit score
  
• No deferred interest, late fees, or compounding interest
  
• Works with major e-commerce businesses and online stores
  
• Higher merchant fee structure — 5.99% + $0.30 transaction fee
  
• Best suited for smaller wellness expenses; only available in medical aesthetics
  

CareCredit

CareCredit is a medical credit card issued by Synchrony Bank and remains one of the most widely used healthcare financing options in the United States. It’s accepted by more than 270,000 providers nationwide, covering everything from dentistry and dermatology to veterinary care and elective procedures.

Patients can apply online or in-office, but approvals require a hard credit check, which will harm their credit score. Credit limits typically extend up to $25,000, and once approved, the card can be reused for future treatments. CareCredit offers promotional “no interest if paid in full” plans for 6, 12, 18, or 24 months — but these use deferred interest.  

For practices, CareCredit provides upfront payment and strong name recognition across multiple healthcare specialties. However, higher merchant fees and reliance on deferred interest can make it less patient-friendly than other modern BNPL platforms.

Key Takeaways — CareCredit

• Medical credit card accepted at 270,000+ healthcare providers nationwide
  
• Credit approval process includes hard inquiry; reports to major credit bureaus
  
• Revolving credit line up to $25,000 for ongoing or future treatments
  
• Promotional financing with deferred interest (6–24 months)
  
• High APR (~32.99%) applies if balance isn’t paid on time
  
• Providers receive upfront payment; higher merchant fees than BNPL options
  
• Best suited for patients with established credit and good spending habits

LendingClub

LendingClub offers a more traditional approach to healthcare financing through structured installment loans. Its Patient Solutions program is designed for larger medical expenses, giving patients the ability to borrow higher amounts and repay over extended periods with predictable monthly payments.

Loan amounts typically range from $1,000 to $60,000, with repayment terms from 24 to 84 months. Borrowers complete a full underwriting process that includes a hard credit check and income verification. Approved applicants receive fixed interest rates, generally between 7.9% and 35.99%, based on creditworthiness. Funds are deposited directly into the borrower’s bank account, allowing flexibility in how the loan is used.

For practices, LendingClub can help patients move forward with high-value procedures that might otherwise be out of reach. On the other hand, approvals can take longer than with point-of-sale BNPL platforms, and because payments are made to patients rather than directly to providers, practices may have less control over timing and allocation.

Key Takeaways — LendingClub

• Structured installment loans for healthcare, dental, and elective procedures
  
• Loan amounts from $1,000 to $60,000 for large purchases
  
• Fixed monthly payments over 24–84 months
  
• Hard credit check and income verification required
  
• APR typically between 7.9%–35.99% depending on credit profile
  
• Supports wider personal finance goals with varied loan products
  
• Longer approval process than BNPL apps
  
• Best suited for patients financing high-cost or long-term procedures
  

Prosper

Prosper is a peer-to-peer lending marketplace that connects individual and institutional investors with borrowers seeking personal loans, including for elective and medical procedures. Unlike buy now, pay later options that approve applicants instantly at checkout, Prosper offers more traditional installment loans with structured repayment and longer terms.

Patients can borrow up to $50,000, with repayment periods ranging from two to five years. Interest rates are fixed and vary between 8.99% and 35.99%, depending on the borrower’s credit history and financial profile. Prosper also charges an origination fee of 1%–9.99%, which is deducted from the loan amount before disbursement. Funds are typically deposited directly into the borrower’s bank account, allowing flexibility in how the money is used — from dental implants and fertility treatments to other elective procedures.

While Prosper provides clear terms and predictable equal payments, approvals require a hard credit check and full review of the applicant’s credit report. Because funds go directly to the patient rather than the provider, practices don’t receive upfront payment and may need to coordinate billing separately.

Key Takeaways — Prosper

• Peer-to-peer lending platform offering structured personal loans
  
• Loan amounts up to $50,000 with repayment terms of 2–5 years
  
• Fixed APR between 8.99%–35.99% based on creditworthiness
  
• Origination fee between 1%–9.99% applies at funding
  
• Requires hard credit check and full credit report review
  
• Funds deposited directly into borrower’s bank account
  
• Equal monthly payments with no deferred interest or hidden fees
  
• Best suited for patients seeking longer-term financing for elective procedures
  

United Credit

United Credit operates as a financing network rather than a direct lender. Instead of issuing loans itself, the platform connects patients with a variety of lending partners that specialize in medical, dental, and wellness financing. This structure allows more patients — including those with fair or limited credit — to find payment options that match their needs.

Patients can prequalify in minutes using a soft credit check, which does not impact their credit score. Loan amounts range from $500 to $25,000, with repayment terms up to 72 months. Once prequalified, United Credit matches applicants with potential lenders based on their creditworthiness and loan preferences. Final approval and funding terms are set by the partner lender, and depending on the offer, a hard credit check may occur before disbursement.

For practices, United Credit helps expand patient eligibility by offering a wider range of financing options without requiring in-house underwriting. While providers may not always receive direct payment, the program makes it easier for patients to access care and move forward with procedures that might otherwise be unaffordable.

Key Takeaways — United Credit

• Financing aggregator connecting patients with multiple lending partners
  
• Loan amounts from $500 to $25,000 with repayment terms up to 72 months
  
• Soft credit check for prequalification; hard credit check possible upon final approval
  
• Designed for elective medical, dental, and wellness financing
  
• Considers a broad range of credit profiles, including lower scores
  
• Expands patient eligibility and access to financing options
  
• Funds typically sent to borrowers; not all providers receive direct payment
  
• Suitable for practices seeking inclusive financing solutions without added risk

Final Thoughts: Afterpay vs Klarna — and Why Healthcare Needs Something Different

While Klarna and Afterpay are two of the best apps for helping consumers split payments, their structures simply don’t fit the unique needs of medical financing. Short repayment windows, low spending limits, and a lack of healthcare specialization make it difficult for patients to use these tools for anything beyond minor cosmetic or wellness expenses. And that’s true of many of today’s other popular BNPL platforms — like Splitit, Zip (formerly Quadpay), Sezzle, and PayPal Pay Later.

When it comes to medical or elective care, patients need transparent, longer-term payment options — without hidden interest or confusing fine print. Providers, in turn, need fast approvals, upfront payment, and low merchant fees to enhance cash flow and growth.

That’s where purpose-built healthcare financing platforms stand apart. Among them, Cherry offers the most balanced and patient-friendly solution — combining a 60-second application process with a soft credit check, instant approval decisions, true 0% APR options for qualified borrowers, and the lowest provider fees in the industry.

For both patients and practices, the right financing tool doesn’t just split purchases into smaller payments — it makes care accessible, affordable, and stress-free. Find out how Cherry could transform your practice. Claim your complimentary demo here.