PayPal Credit reaches £2 billion lending in UK

The option is offered as part of the online checkout process and offers instant decisions.

Darrell Esch, senior vice-president, credit at PayPal, said: “Since we launched PayPal Credit in the UK we’ve seen a wide range of retailers adding it into their payment offer.

“It has delivered real returns for retailers, with a 15% incremental increase in sales demonstrating a clear benefit to their bottom line.”

If PayPal is used as a payment method, all shopping baskets of £99 and over automatically qualify for 0% interest for 4 months (excluding instalments).

Outside these offers, any balance is subject to the standard interest rate, which is currently 19.9% a year (variable).

Tom Hindle, operations director at online technology store Box, said: “Launching with PayPal Credit as a finance provider on our website has meant we can provide our customers with a recognised payment solution and a fast easy way to buy on credit

“Since implementing we have seen a significant increase in our average order value, up 47%, and a very positive uplift on sales through PayPal Credit.”