Upgrade is getting into buy now, pay later

U.S. fintech start-up Upgrade is set to enter the increasingly crowded buy now, pay later market.

Upgrade, which was founded by former LendingClub boss Renaud Laplanche in 2016, is a digital banking start-up that offers people payment cards along with personal lines of credit.

Unlike a credit card, which lets consumers revolve their balance, Upgrade takes all the purchases someone makes in a month and creates an installment plan for paying down the debt. The payment plans are typically long-term, ranging anywhere from six to 36 months, and charge a fixed interest rate.

Read more: CNBC