The best Buy Now Pay Later companies in 2022

The best Buy Now Pay Later companies in 2022

Whether it’s the appeal of being able to pay off purchases in interest-free instalments or the convenience of doing so via a handy mobile app, Buy Now Pay Later (BNPL) has well and truly cemented itself as a popular alternative to credit cards and other forms of credit.

“With more and more Aussies turning to Buy Now Pay Later for both everyday and one-off purchases, our Mozo Experts Choice Awards lineup was incomplete without last year’s addition of the Buy Now Pay Later Awards,” said Mozo banking expert Peter Marshall.

So whether you’re a longtime lover of Buy Now Pay Later or trying it out for the first time, our Mozo Experts are here to shed some light on some of the best services BNPL has to offer.

Let's dig into the details about the winners of our second-ever Mozo Experts Choice Buy Now Pay Later Awards.^

Picking the winners

Our Mozo Expert judging panel searched high and low for the Buy Now Pay Later providers with the best value services worthy of a Mozo Experts Choice Award.

After conducting an extensive data collection process and comparing 23 Buy Now Pay Later services against a range of criteria, including product fees, flexibility and availability (which you can read about in our BNPL Methodology Report), our Mozo Experts finally found the 2022 Mozo Experts Choice Buy Now Pay Later Award-winners.

Small Purchases Award:

Many Buy Now Pay Later services allow users to make smaller-value purchases paid back over a shorter timeframe for free, making the Small Purchases Award quite a competitive category.

This year there were not one but two winners in the Small Purchases category – PayPal and, for the second year in a row, Klarna.

“What stood out to the judges with Klarna was its minimal late fees and the fact that it can be used at any retailer where Visa is accepted,” Marshall said.

Klarna - Buy Now Pay Later
  • Can be used at any retailer that accepts Visa
  • 'Ghost card' maximum of $2,000
  • Rewards club & price drop tracking
Find out more

The details

Klarna was founded in Sweden over 15 years ago and brought to Australia by CommBank. To shop (either online or in-store) with Klarna, you’ll first need to create a ‘ghost card’ via the Klarna app and then enter the amount you’d like to spend (maximum of $2,000 depending on eligibility factors). Once your requested amount is approved, you’ll be able to use your ‘ghost card’ to make a purchase and then pay it off in four interest-free fortnightly instalments. Having won a Mozo Experts Choice Buy Now Pay Later Award in the Small Purchases category* two years in a row, Klarna has proved itself an excellent tool for smaller everyday spending. Also, spend $100 using Klarna at any participating brands from 7 – 13 March 2022, and you could get $30 off. Just remember to check the terms and conditions for any fees before applying.

“Last year we saw PayPal enter the Buy Now Pay Later space with its ‘Pay in 4’ service,” said Marshall.

What’s great about PayPal’s ‘Pay in 4’ service is that it's available through Paypal’s extensive network of retailers where using a Paypal login at checkout is an option. This service could be well-suited to customers who predominantly shop online.

“Factors that helped PayPayl Pay in 4 stand out to the judges were its no upfront, ongoing or late fees,” explained Marshall.

PayPal Pay in 4 - Buy Now Pay Later
  • Make a purchase in 4 interest-free payments
  • No upfront, ongoing or late fees
  • Available at millions of merchants online
Find out more

The details:

Last year, PayPal came out with its own answer to Buy Now Pay Later – ‘PayPal Pay in 4’. The BNPL service lets customers make online purchases (of amounts between $30 and $1,500) in four interest-free instalments paid off fortnightly. Not only is Pay in 4 backed by PayPal (meaning you get the same security and buyer protection as you would with PayPal), but the service is available for use in millions of different merchants online and globally. On top of this, there is no sign-up fee, nor ongoing or late fees. Plus, this BNPL service even took out a 2022 Mozo Experts Choice Buy Now Pay Later Award in the Small Purchases category*.

Major Purchases Award:

For the second year in a row, Humm has won a 2022 Mozo Experts Choice Buy Now Pay Later Award in the Major Purchases category for its ‘Big Things’ option.

“When it came to finding the best Buy Now Pay Later service for making bigger purchases with longer repayment periods, last year's Major Purchases Award-winner Humm is still yet to meet its match,” said Marshall. 

One of the perks of Humm Big Things is the long list of retailers available for customers to shop with.

“On top of this, the service offers longer repayment terms and larger purchase amounts than most BNPL providers – as well as reasonably priced late fees,” Marshall explained.

Humm Big Things - Buy Now Pay Later
  • Offers the ability to make both small & larger purchases
  • Accepted at a wide range of stores
  • Flexibility to choose which day you make your repayments
Find out more

The details:

With Humm, eligible customers can make purchases of $1 to $30,000 and pay them off gradually in either weekly or fortnightly interest-free payments. The number of ‘slices’ (instalments) you have will depend on the size of the purchase you make. If you plan on making smaller purchases, then you might consider opting for a ‘Little Things’ account which comes with a $2,000 limit. Bigger spenders might go for a ‘Big Things’ account which allows purchases of up to $5,000 via online application or up to $30,000 when you apply in-store. Humm’s ‘Big Things’ option just won a Mozo Experts Choice Buy Now Pay Later Award in the Major Purchases category* for the second year in a row. Be aware that this account charges monthly fees, which can vary depending on what type of customer you are, so be sure to check the T's & C's before signing up.

Specialist Service Award:

To determine the winners in the Specialist Service awards category, our Mozo Expert judges searched for Buy Now Pay Later providers offering top-tier value when it came to the more niche and expensive purchases.

In the 2022 Mozo Expert Choice Buy Now Pay Later Awards, we saw last year’s Specialist Service Award-winner Brighte take out the title for a second time.

“Brighte offers a Buy Now Pay Later service that largely specialises in home improvement purchases, predominantly those that are environmentally conscious,” said Marshall.

“Brighte’s low weekly fee was a real standout feature in the judge's eyes when compared to other Buy Now Pay Later services tailored for larger purchases with longer repayment terms.”

Brighte - Buy Now Pay Later
  • 0% interest payment plan for solar or home improvement projects
  • Up to $30,000 for homeowners
  • Fortnightly repayments from 6-60 months
Find out more

The details:

With a 0% interest payment plan for solar or home improvement projects, Brighte offers an award-winning Buy Now Pay Later service option for eligible Aussie homeowners looking to spread out the costs of upgrading their home. Brighte offers purchase amounts of up to $30,000 for eligible homeowners and the ability to make fortnightly repayments from 6-60 months. While there aren’t any early repayment or payout fees, Brighte does charge a $1.50 weekly account keeping fee, which will be deducted from your fortnightly repayments. Most importantly, Brighte has won a Mozo Experts Choice Buy Now Pay Later Specialist Service Award* two years in a row.

Bill Payments Award:

This year we introduced a new category to the Mozo Experts Choice Buy Now Pay Later Awards – the Bill Payments Award.

“The new Bill Payments Award category recognises the Buy Now Pay Later services that were best for minimising bill shock,” said Marshall.“

"With its flexible credit limit and repayment terms, the NAB StraightUp Card achieved a happy medium between fees and features, ultimately seeing it become the inaugural winner of this award.”

NAB StraightUp Card
  • 0% p.a. interest on purchases
  • Max credit limit $3,000
  • No foreign transaction fees or late payment fees

The details:

Unlike most credit cards, the NAB StraightUp Card lets you make interest-free purchases (wherever Visa is accepted). Instead you’ll pay a fixed monthly fee based on your credit limit ($1,000 credit limit = $10 p/m, a $2000 limit = $15 p/m and a $3000 credit limit = $20 p/m). The card comes with a minimum monthly repayment of $110, however, this gets waived if your balance is $0 during the whole statement period. This card scored a 2022 Mozo Experts Choice Buy Now Pay Later Award in the Bill Payments category*.

Go check out the full 2022 Mozo Experts Choice Buy Now Pay Later Awards winner list. Otherwise, head over to our Buy Now Pay Later hub to learn more about BNPL.

Keen to do a deep dive into the world of BNPL? Then go have a read of our 2021 Buy Now Pay Later Report: Aussies have a new go-to for their biggest purchases.

^See information about the Mozo Experts Choice Buy Now Pay Later Awards

^See information about the Mozo Experts Choice Buy Now Pay Later Awards

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