This buy-now-pay-later facility called My Wallet, is currently offering a loan of up to RON4,000 and the purchase can be repaid in four instalments (one of which paid when placing the order) or 30 days after the purchase date. A customer can buy products from either eMAG or one of its partners if the price is higher than RON100.
A year from the launch of this facility, about 6% of the sales are made using My Wallet, eMAG CEO Tudor Manea told ZF.
The credit limit should almost double, he added, once PayU secures the required approval, and reached RON80,000 to RON10,000, therefore turning into a consumer loan. The number of instalments will increase to 12.
The online retailer’s move to grant customers loans via their customer account will likely elicit response from banks, which may come with new products and lower interest rates, Manea said.
(English version by Loredana Fratila-Cristescu)