Apple Inc and Affirm Holdings Inc's PayBright are planning to launch a "buy now, pay later" program for Apple device purchases in Canada, Bloomberg News reported, allowing people to pay for iPhone, Mac, and iPad over 12 to 24 months.

In the United States, Australia and Europe, buy now, pay later is marketed as an alternative to credit cards. The service has soared in popularity during the pandemic as consumers seek other options to make purchases that are easier on their wallets.

On Monday, Square Inc, the payments firm of Twitter Inc co-founder Jack Dorsey, said it would acquire buy now, pay later pioneer Afterpay Ltd for $29 billion, creating a transactions giant that will battle banks and tech firms in the financial sector's fastest-growing business.

Square's deal for Afterpay would allow it to compete with PayPal Holdings Inc and unlisted Swedish startup Klarna Inc, which was worth $46 billion in its last fundraising in June.

Apple and Affirm plan to debut the program this month at Apple stores in Canada, Bloomberg reported, citing a message sent to Apple retail employees in the region.

The service will let iPhone, Mac and iPad buyers in Canada pay for purchases over 12 or 24 months instead of in-full at the time of the transaction, according to the Bloomberg report.

Apple did not immediately respond to a Reuters request for comment and Affirm declined to comment.

Last month, Bloomberg reported that Apple was working on a service to let shoppers pay for purchases in installments and it would use Goldman Sachs Group Inc as the lender for the loans made through Apple Pay.