How it works: Our underwriting models assess a consumer’s ability to repay before making a real-time credit decision. Our models consider data beyond just traditional credit scores, including transaction history and credit usage. This approach enables responsibly Affirm to responsibly expand access to credit to a wide segment of consumers, including those whose traditional credit scores may not fully represent their creditworthiness as a borrower. expanding The nature of credit cards makes it all too easy for consumers to fall (or get left) behind. So we flipped the model on its head. We underwrite each transaction individually and—by never charging late fees—we do not profit when access to credit consumers fall behind. Our success is fundamentally aligned with our consumers’ success. • We enable eligible consumers at virtually any merchant to pay over time with term lengths ranging from 6 weeks to 60 months. • Affirm’s Pay in 4, buy now, pay later solution is always interest-free. • Affirm’s monthly payment option can be interest-free or can be interest-bearing with simple interest generally ranging from 10 to 36% APR, consistent with the 36% rate that has been supported by consumer advocacy groups and bipartisan members of Congress. • Affirm’s 0% APR offers have no deferred, hidden, or surprise interest or fees, ever. • Every transaction is underwritten individually. Payment options, including length of term and interest rate, may vary by merchant (subject to eligibility), the purchase amount, and the pay over time program the consumer chooses. • Facilitating simple interest-bearing transactions enables us to address more of our consumers’ and merchants’ needs responsibly. Simple interest means the interest is based on a fixed percentage that never compounds, so consumers never owe a penny more than what they agree to at checkout. • All Affirm consumers to whom credit is extended receive Truth in Lending disclosures for all our products, even when it is not required. This ensures that consumers receive consistent and transparent disclosures. 6