Digital payment options explained

“Buy now, pay later” – what’s that?

You may have already heard of it. “Buy now, pay later”, often abbreviated as BNPL, is offered as a payment option in many online shops. There are some myths around this payment solution, so in our latest blog post, we take a closer look at the myths surrounding BNPL.

In reality, BNPL is mostly a modern version of something many people in Germany already know well: paying by invoice. It’s a payment option that’s widely used – and appreciated – because it’s straightforward and gives you a bit of breathing room.

Invoice payment in a nutshell

Invoice payment works quite simply. You decide to buy something – no matter how big or small the purchase is – go to the checkout and choose invoice payment as your payment option. You place your order and then receive an invoice with a due date, usually 14 or 30 days. Your payment has to be received by then. You often pay via a traditional bank transfer or pay‑by‑link; with some providers, you can also set up a direct debit mandate so that the amount is automatically debited on the due date. The nice thing about that: you don’t have to worry about forgetting the payment.

The big plus of invoice payment: You don’t have to pay upfront. You can check the goods, try them on, or send them back if they don’t fit – and only pay for what you actually keep.

Of course, you shouldn’t spend money you don’t have. Even if “pay later” sounds tempting, at the end of the day it’s a normal financial commitment you need to settle on time. It helps to keep an eye on how many invoices you have open and to be honest with yourself about whether you can realistically pay them by the due dates.

Split invoices with Flex

With Flex, you can break down your purchases into manageable payments. Instead of paying a larger amount all at once, you turn it into a clear payment plan that fits better with your monthly budget. You can apply Flex to your open Riverty invoices: first you choose invoice payment at checkout, then you convert the outstanding amount into a payment plan via the Riverty app.

Here’s how it works:

Split into smaller amounts: Instead of paying the full amount at once, you divide it into monthly instalments and pay it off step by step.
Choose the term: You decide over how many months you’d like to repay the amount. You can adjust both the term and the monthly amount at any time, even while you’re already repaying.
Stay on top of things: In the Riverty app, you can always see how much you’ve already paid, settle the whole outstanding amount free of charge, and track upcoming payments.

You can also bundle several open invoices into one total amount and repay it with a single monthly instalment. The benefit: You have just one payment plan and don’t need to keep track of multiple due dates.

One important point: Flex is a form of credit. Before you decide, take a moment to check what monthly amount really fits into your everyday life, so that your other expenses still work out comfortably.

Pause invoices

Sometimes life gets in the way and you need a bit more time to pay. In these cases, you can pause your open invoice – in other words, postpone your due date. Whether your salary arrives shortly after the due date, unexpected costs show up or you want to line up several payments so they match with your budget, a little payment break can sometimes make all the difference.

The advantage of pausing your payment: You keep control over your payment, but gain some flexibility without switching to a long‑term instalment plan. Just like with Flex, a payment pause is meant to help you – not to encourage living permanently beyond your means. Use it as a way to ease pressure in challenging moments, always with your future expenses in mind.

Other payment methods at a glance

To figure out what suits you best, it helps to look briefly at other common payment methods in online shopping.

Credit card

• The amount is either charged right away or collected in a monthly statement.
• Well suited for fast, international payments.
• Tip: check your statements regularly and be careful with revolving credit, as it can become expensive

Bank transfer and instant transfer

• You initiate the transfer yourself.
• A standard bank transfer usually takes about one business day; transfers are not processed on weekends or public holidays, which you should keep in mind to pay on time.
• With an instant transfer, the recipient gets the money in about 10 seconds.
  Banks may charge a small fee for instant transfers, though many now offer them free of charge.

Direct debit

• If you set up a direct debit mandate, the due amount will be automatically debited from your bank account.
• This is especially handy for recurring payments and for making sure you don’t miss a due date.
• Make sure your account has enough funds on the debit date, so you avoid return debit fees.