From a merchant perspective, what I like best about PayPal Pay Later is how it safely boosts our average order value without adding any extra financial risk to our business. Since we started showing the interest-free payment breakdowns right on our product pages, we’ve seen a decent jump in customers upgrading to premium items. And PayPal pays us the full amount upfront, so we don't have to chase down late fees or manage credit risks ourselves. And because so many of our customers already trust and use PayPal, they don't hesitate to check out, which has drastically cut down on our abandoned carts and given us a seamless sales lift with zero extra hassle. Review collected by and hosted on G2.com.

I would have to say that obvious; the higher cost per transaction and the lack of control over the approval process. While it definitely brings in more sales, the processing fees are steeper than standard credit card payments, which can really eat into our profit margins on smaller orders. It’s also frustrating when an eager customer gets declined for financing right at checkout; we have no say in PayPal's automated underwriting decisions, which means we occasionally lose an organic sale entirely due to a sudden credit rejection we can't override. Review collected by and hosted on G2.com.