> ## Documentation Index
> Fetch the complete documentation index at: https://docs.hedgepayments.com/llms.txt
> Use this file to discover all available pages before exploring further.

# CoverPay

> The Best BNPL — Buy now, pay later done right

# CoverPay — The Best BNPL

CoverPay is buy now, pay later reimagined. No hidden fees. No predatory interest. No credit score damage. Just flexible payments that work for everyone.

<img src="https://mintlify.s3.us-west-1.amazonaws.com/hedgeinc/images/coverpay-hero.svg" alt="CoverPay BNPL" />

## Why CoverPay is Different

Traditional BNPL providers make money when users fail. Late fees, hidden interest, and credit damage are features, not bugs. **CoverPay is different.**

<CardGroup cols={2}>
  <Card title="Transparent Pricing" icon="eye">
    No hidden fees, ever. Users know exactly what they'll pay before they commit.
  </Card>

  <Card title="Soft Credit Checks" icon="shield-check">
    Pre-qualification uses soft pulls only. No impact to credit scores.
  </Card>

  <Card title="Flexible Plans" icon="calendar">
    Pay in 4, monthly installments, or custom schedules—whatever works for the user.
  </Card>

  <Card title="Responsible Lending" icon="heart">
    Built-in affordability checks prevent users from overextending.
  </Card>
</CardGroup>

## Payment Plans

<Tabs>
  <Tab title="Pay in 4">
    Split any purchase into 4 equal payments over 6 weeks. 25% today, then 25% every 2 weeks.

    **Best for:** Everyday purchases $50-$500

    ```
    $200 purchase → 4 payments of $50
    Day 0:  $50
    Day 14: $50
    Day 28: $50
    Day 42: $50
    ```
  </Tab>

  <Tab title="Monthly">
    Spread payments over 3, 6, or 12 months with clear, fixed payments.

    **Best for:** Larger purchases $200-$2,000

    ```
    $600 purchase → 6 payments of $100
    Monthly payments, same day each month
    ```
  </Tab>

  <Tab title="Custom">
    Create custom payment schedules for unique situations.

    **Best for:** B2B, invoicing, special arrangements

    ```
    Fully customizable:
    - Payment amounts
    - Payment dates
    - Number of installments
    ```
  </Tab>
</Tabs>

## How It Works

<Steps>
  <Step title="User Selects CoverPay">
    At checkout, user chooses CoverPay as their payment method.
  </Step>

  <Step title="Instant Pre-qualification">
    Soft credit check determines eligibility in milliseconds. No credit impact.
  </Step>

  <Step title="Choose a Plan">
    User selects Pay in 4, Monthly, or custom payment schedule.
  </Step>

  <Step title="Complete Purchase">
    First payment collected, merchant paid in full immediately.
  </Step>

  <Step title="Automatic Payments">
    Remaining payments collected automatically on schedule.
  </Step>
</Steps>

## For Merchants

<AccordionGroup>
  <Accordion title="Increase Conversion" icon="chart-line">
    Merchants see 20-30% higher conversion rates when offering CoverPay. Customers buy more when they can spread payments.
  </Accordion>

  <Accordion title="Get Paid Immediately" icon="bolt">
    You get paid in full upfront. CoverPay assumes the payment risk, not you.
  </Accordion>

  <Accordion title="Lower Fees Than Cards" icon="percent">
    CoverPay fees are competitive with credit card processing, often lower for high-ticket items.
  </Accordion>

  <Accordion title="Easy Integration" icon="plug">
    Add CoverPay to your checkout in under an hour with our SDKs and pre-built components.
  </Accordion>
</AccordionGroup>

## Quick Example

```javascript theme={null}
import { CoverPay } from '@hedgepayments/coverpay';

const coverpay = new CoverPay({
  apiKey: process.env.COVERPAY_API_KEY,
  merchantId: process.env.MERCHANT_ID
});

// Pre-qualify user (soft check, no credit impact)
const qualification = await coverpay.prequalify({
  userId: 'user-123',
  amount: 250.00,
  email: 'customer@example.com'
});

if (qualification.approved) {
  // Show available plans
  console.log('Available plans:', qualification.plans);
  // [{ type: 'pay-in-4', payments: 4, perPayment: 62.50 },
  //  { type: 'monthly-3', payments: 3, perPayment: 83.33 }]

  // Create the payment
  const payment = await coverpay.createPayment({
    userId: 'user-123',
    amount: 250.00,
    plan: 'pay-in-4',
    orderId: 'order-456'
  });

  console.log('First payment collected:', payment.firstPayment);
  console.log('Next payment due:', payment.nextPaymentDate);
}
```

## Use Cases

| Industry          | How CoverPay Helps                               |
| ----------------- | ------------------------------------------------ |
| **E-commerce**    | Increase AOV and conversion on your online store |
| **Marketplaces**  | Offer flexible payments to buyers                |
| **P2P Apps**      | Let users pay friends back over time             |
| **Subscriptions** | Spread annual subscription costs monthly         |
| **Services**      | Finance services, repairs, and professional work |
| **Gaming**        | Fund gaming wallets with manageable payments     |

## Compliance & Security

<Info>
  CoverPay is fully compliant with consumer lending regulations in all 50 US states.
</Info>

* **State Licensing:** Licensed in all operating states
* **FCRA Compliant:** Fair Credit Reporting Act compliant soft pulls
* **Regulation E:** Electronic fund transfer protections
* **PCI DSS Level 1:** Bank-grade payment security
* **SOC 2 Type II:** Audited security controls

## Get Started

<CardGroup cols={2}>
  <Card title="Quickstart Guide" icon="bolt" href="/products/coverpay/quickstart">
    Add CoverPay to your checkout
  </Card>

  <Card title="Pre-qualification API" icon="user-check" href="/api-reference/coverpay/prequalify">
    Check user eligibility
  </Card>
</CardGroup>