Warning: Late repayment can cause you serious money problems. For help, go to moneyhelper.org.uk

Retail finance providers allow you to shop online and pay for your goods later or in instalments instead of shelling out in one lump sum.

An alternative to putting items on your credit card, these finance options typically offer zero interest rates up to a certain value and can be useful for when your funds are low, or you are making an expensive purchase.

With these options becoming increasingly available across e-commerce sites offering everything from clothes and makeup to household goods, CashLady looks at the top five online retail finance providers and where you can shop using them.

Using online retail finance

Online retail finance is on the rise and according to recent news reports, it’s being used by retailers to encourage shoppers to order more frequently and spend more.

This new generation of finance provider is different from traditional forms of borrowing, typically passing charges onto retailers instead of consumers, meaning that borrowers don’t face any interest or fees.

A new generation of borrowing

Retail finance is also data-led. According to CNN Business, when making a lending decision, finance provider, Klarna, asks customers for minimal personal information before performing a soft credit check. It then uses machine learning and analytics to risk score the consumer in real-time.

The option to ‘buy now, pay later’ is given at check out along with the options to pay by a card or by PayPal and is available with just a few clicks. Repayment options usually include paying in 30 days or spreading payments out over a longer period in instalments.

While this is certainly convenient, it should be noted that with any type of borrowing, failing to make repayments on time can negatively affect your credit score.


One of the most popular providers, Klarna, is used by one million people each day. A Swedish tech start-up, it is rapidly growing in popularity, claiming that it has 60 million customers worldwide with 26 million of them acquired in 2018 alone.

Where you can shop using Klarna

  • Burtons
  • Lenovo
  • Dorothy Perkins
  • Microsoft
  • Miss Selfridge
  • AX Paris
  • com
  • Top Shop
  • Top Man
  • Wallis


Basingstoke based Duologi is another online retail finance provider that’s experiencing massive growth. Recent reports indicate that the young company plans to grow its portfolio to £1bn in five years. Like Klarna, it offers customers to pay in ways that suit them.

Where you can shop using Duologi

  • Litchfield Motors
  • Batribike
  • The Cotswold Bed Company
  • Middletons Mobility
  • Virgin Pure
  • Cherry Lane Garden Centres
  • Bedrooms In Style
  • Just Paint Ball
  • Furniture Box


Another modern-day finance provider, London headquartered Deko offers credit decisions in under five seconds following a four-minute credit application. It focuses on using digital technology to make transactions seamless for retailers and consumers.

Where you can shop using Deko

  • 4Gadgets
  • Cornell Jewellers
  • Stove Saver
  • New Victoria Hospital
  • Night Master
  • Rotary revs
  • The Fireplace Warehouse
  • Think! Flooring
  • Diamond Rocks
  • Artfinder

V12 Retail Finance

Part of the Secure Trust Bank family, V12 Retail Finance is another UK firm, registered in Cardiff. It allows retailers to offer a suite of flexible payment options including interest-free payments, with interest up to 19.9% for large purchases, an interest-free five-month payment plan and buy now pay later.

Where you can shop using V12 Retail Finance

  • Clifton Cameras
  • Yamaha Music
  • Wiggle Bikes
  • Appliances Direct
  • The Celtic Football Club
  • Discount Diamond Store
  • Halfords
  • Cycle Republic
  • Laptops Direct
  • Tottenham Hotspur

PayPal Credit

PayPal Credit claims that it’s like a credit card without the plastic. It offers 0% interest for four months on all purchases of £99 or more, allowing shoppers to spread the cost of those larger purchases. It is soon going to offer a scheme for credit for smaller sums and will be available for PayPal Credit customers who are already verified and approved by the company with no additional applications.

Where you can shop using PayPal’s 3-month option

  • Blacks
  • Chain Reaction Cycles
  • Dyson
  • Millets
  • Samsung
  • Simply Games
  • Ultimate Outdoors
  • Goldsmiths
  • eBay
  • Box.co.uk

CashLady Representative 79.5% APR

Representative Example

Amount of credit:
£1000 for 12 months
at £123.40 per month
Total amount repayable of £1,480.77
Interest: £480.77
Interest rate: 79.5% pa (fixed)
79.5% APR Representative

Warning: Late repayment can cause you serious money problems.
For help, go to moneyhelper.org.uk

Get your personalised quote today!

How much do you want to borrow? Representative 79.5% APR

CashLady Representative 79.5% APR