Costco has teamed up with flexible payments platform Affirm to allow its customers to split up their payments for large-ticket purchases, the feature is set to roll out on May 14.
The wholesale retailer’s new partnership allows shoppers to use a buy now, pay later model, which offers customers personalized monthly payment plans.
Pat Suh, Affirm’s SVP of Revenue, said: “Costco members in particular know the value of planning ahead and buying in bulk. We’re excited to offer them an alternative to traditional credit, helping them confidently manage their spending on larger purchases without hidden fees.”
Costco shoppers are able to avail the flexible payment plan for purchases between $500 and $17,500 on its e-commerce website.
The shoppers have the choice to pay within a timeframe of three to thirty-six months after making the purchase.
The decision to roll out flexible financial solutions aligns with the wholesaler’s strategy to minimize potential headwinds and price increases from tariffs after reporting a strong second quarter of 2025.
Ron Vachris, CEO and president of Costco, commented in an earnings call: “Given events over the last week, it is difficult to predict the impact of tariffs, but our team remains agile, and our goal will be to minimize the impact of related cost increases to our members.”
Other retailers, including Walmart and eBay, have also introduced flexible payment options with Klarna this year amid mounting economic pressures for shoppers.
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