Fly now pay later plans take off
Paying off your airfares in instalments is possible – but may leave you winging it, writes
Sophie Elsworth
JETSETTERS on a budget can now pay for their flights in instalments using buy now, pay later schemes.
Low- cost carrier Tigerair is the latest airline to join forces with a scheme allowing customers to book their flights, go on holiday and pay off their airfares at a later date.
Partnering with alternative payments provider Zip, the airline will put the plan in place by the end of this month, giving travellers Zip interest- free payment options on all domestic and international fares, allowing them to pay off their flights in bite- sized instalments.
Passengers can book multiple flights, up to the value of $ 3000, and then have full flexibility to repay either in weekly, fortnightly or monthly instalments.
Zip customers have up to 60 days to repay before they incur any charges.
The move follows in the footsteps of rival airline Jetstar, which last year introduced the option to use Afterpay for flights booked at least four weeks in advance for fare reservations ranging between $ 200 and $ 1000.
Tigerair spokeswoman Vanessa Regan said the move would make it more affordable and convenient for jetsetters wanting to ease the burden of paying for flights.
“We are pleased to be providing our customers with better flexibility when it comes
AFTERPAY versus ZIP
he said. “We’d urge caution with these ‘ buy now, pay later’ financial products.”
Zip co- founder Peter Gray said Zip does ID and credit checks for every applicant and there are no establishment fees.
“You can make as many purchases as you like and you receive a statement on the first of the month with your balance,’’ he said.
“You have until the end of the month to pay off your balance in full and we’ll waive the monthly fee, or if you choose to take longer, and choose to only pay the minimum, there’s a $ 6 monthly account fee.”