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This launch could revolutionize PayPal’s in-store ambitions—and provide real competition for Apple Pay

The rule would require larger payment apps to be regulated like banks. Ending this rule would be a win for Apple Pay and Google Wallet

The BNPL provider expanded its merchant network and pushed in-store. A potential Apple Pay deal could help raise its profile

And partnerships with mobile wallets like Apple Pay are also making it easier for consumers to pay via Klarna. What about Clover? The partnership can help make Clover a more attractive partner to many of its merchants trying to serve their customers’ payment preferences. Ä¢¹½AV four in 10 US digital buyers will use BNPL this year, per our forecast.

Its rule to regulate apps like Apple Pay and Google Wallet as banks is also being undone by Congress. Why it matters: Despite the late fee rule never going into effect, credit card issuers had begun identifying ways to make up for potential lost revenues from the cap, with private label card issuers expecting to be hit the hardest.

Gen Zers favor Venmo, Apple Pay, and Zelle mobile wallets. Venmo’s social media roots keep its allure strong among younger consumers. And Gen Z’s preference for iPhones gives Apple Pay a big lead over other in-store wallets, such as Google Pay and Samsung Pay. But Gen Z has also embraced Zelle, as the bank-owned app keeps building a bigger share of peer-to-peer (P2P) transaction value and usage.

Apple Pay. Venmo. Key takeaways: Gen Alpha’s preference for digital competitors likely means these payment apps provide the banking basics Gen Alpha needs at this stage. And that includes the ability to buy what they want, pay and receive money from friends and family, and save some money. They may not be interested in more complex banking services at this time in their lives.

Since then, the agency has dropped its lawsuit against Zelle and is expected to scrap its open banking rule and its rule to regulate apps like Apple Pay and Google Wallet as banks. Our take: The decision to revoke this rule is a win for the BNPL fintechs, but it leaves the industry back at square one in terms of regulation. While BNPL has grown rapidly in recent years, regulation didn’t keep pace.

Both firms have also partnered with Apple Pay and Google Pay. But individual partnerships are still important if BNPL players want to reach larger merchants like Stitch Fix. Our take: This tie-up will be a large volume opportunity for Affirm—Stitch Fix’s direct-to-consumer (D2C) ecommerce sales will total $1.28 billion this year, according to our forecasts.

Visa rolled out Tap to Add Card with Apple Pay in September. It also developed Tap to Confirm, which lets consumers authenticate high-value transfers. And it’s working on Tap to Send and Request, a feature that lets users tap a card or card credential on a friend's phone to send or receive money. Tap to Send will be available to Samsung Galaxy users later this year.

Synchrony also made its Pay Later option available directly in Apple Pay in January, making it more accessible and easier to use. The bigger picture: While most card-linked installments are happening via credit cards, debit-based programs are also growing—yet another potential drag for fintechs. Chase offers Chase Pay in 4 to its debit card holders.

Apple Pay dominates in-store mobile wallet payments. Apple Pay’s dominance comes despite Apple iOS and Android having roughly identical smartphone OS shares in the US. Section 4: How Can Vendors Help Mobile Wallet Providers Respond? Vendors must help mobile wallet providers increase transactions, add commerce features, and increase acceptance.

In October, the Consumer Financial Protection Bureau (CFPB) released its final open banking rule, which requires FIs, credit card issuers, and payment apps like Venmo and Apple Pay to transfer a consumer’s financial data to other providers upon that person’s request.

That momentum also ramps up competition with rival buy buttons like PayPal and Apple Pay, which will have to work harder to keep their share of the ecommerce pie.

PayPal, for example, recently revamped its debit card to boost adoption, upgrading its rewards proposition and making it compatible with Apple Pay. And Block has been marketing Cash App’s direct deposit features more aggressively across email, push notification, and in-app messages.

Synchrony also made its Pay Later option available directly in Apple Pay in January. The bigger picture: Card-linked installment plans have an edge against traditional fintech BNPL plans. Their higher customer satisfaction levels make them a strong investment opportunity. The top three ranked installment plans in J.D. Power 2025 US Buy Now Pay Later Satisfaction Study were card-linked plans.

In the past year, Apple Pay partnered with Affirm and Klarna. Google Wallet also recently added Afterpay and Klarna, building on its tie-ups with Affirm and Zip. Delinquencies will remain low. Structural repayment differences will keep BNPL default rates lower than those of credit cards. Most BNPL providers require automatic repayments, helping keep rates low.