Tabby and Tamara for online stores: how buy now, pay later works

Tabby and Tamara let your customers split the price of an order into smaller payments, with no interest. You get the full amount upfront, minus a fee. The provider then collects the instalments from the shopper, so chasing payments is their job, not yours.

That is the deal behind Tabby and Tamara for online stores. You pay a fee on each order, and in return you may win shoppers who would not pay the full price at once. Neither company publishes its rates, so the fee is agreed in your contract.

We usually advise adding at least one of them if your products cost a few hundred dirhams or more. For cheap items with thin margins, the fee may not pay for itself.

How buy now, pay later works for UAE shoppers

Buy now, pay later (BNPL) lets a shopper take an item now and pay for it in parts. The BNPL company pays your store, then collects the payments from the shopper.

Here is what the shopper sees.

1. On your product page, they see a short line such as "or 4 payments of AED 150 with Tabby".
2. At checkout, Tabby or Tamara appears as a way to pay.
3. The shopper signs in or signs up, and the provider decides whether to approve the order. Each shopper has their own spending limit.
4. The shopper makes the first payment, and the order reaches you like any paid order.

The two providers split payments differently.

• Tabby: the shopper splits the price into 4 monthly payments and pays 25% today. Tabby charges the shopper no interest or fees.
• Tamara: the shopper splits the price into 2, 3 or 4 payments, and up to 6. It is interest-free, with no late fees. Tamara says some orders may carry a small processing fee for the shopper, shown upfront.

For example, on an AED 600 order, a Tabby shopper pays AED 150 today and AED 150 in each of the next three months. With Tamara, the same order could be 3 payments of AED 200, or 2 of AED 300.

Tabby and Tamara for online stores: what you pay and when you get paid

For your store, both work in much the same way.

• You are paid upfront. You receive the full order amount, minus the provider's fee. You do not wait for the shopper's instalments.
• Collecting the instalments is their job. Tabby says merchants carry no risk if the shopper does not pay. Tamara also pays you upfront.
• Fees are agreed with each merchant. Neither provider publishes its rates. Tabby's fee is a percentage of each sale plus AED 1, set in your contract. Tamara agrees its fees with each merchant.
• Payouts are weekly. Tabby pays out weekly, on Mondays, or when your balance reaches AED 2,500. Tamara settles weekly.

On a custom store, there is no platform fee on these orders: you pay only the provider's fee. Some ready-made platforms add one. For example, at the time of writing (October 2026), Shopify adds 2% of each sale on its Basic plan when you use another payment provider, and in the UAE its own payment service is not offered on Basic. To compare with what card payments cost, see our guide to payment gateways in the UAE.

Tabby vs Tamara: side by side

Here is how they compare, based on what each publishes for merchants. Check the latest terms on Tabby's business page and Tamara's partner page.

The two are more alike than different. These are the differences that matter most.

• Bahrain: only Tamara covers it.
• Shorter plans: Tamara's 2- and 3-payment options can suit smaller orders.
• Fees: these depend on your contract, so compare the written quotes you get.

Using both

Shoppers who already use one of them will look for it at checkout. Showing both gives more of them a familiar option, and a second chance if one provider declines them.

The cost is more admin: two contracts, two payout reports to match against your orders, and two sets of messages to keep up to date. Before you sign, check that neither contract asks you to offer only its service.

Is buy now, pay later worth it for your store?

It depends on your prices and your margins. Here is how to think it through.

Why stores add it

• Pricier items feel easier to buy. An AED 1,200 gift set feels different as four payments of AED 300.
• Fewer abandoned checkouts. Some shoppers leave when they see the total. Paying in parts can keep them.
• Bigger baskets. When the first payment is a quarter of the total, adding a second item costs the shopper less today.
• New kinds of shoppers. BNPL can appeal to younger shoppers and to people who prefer not to use a credit card.
• An alternative to cash on delivery. Shoppers who hesitate to pay in full online can pay a small part now. Unlike cash on delivery, the order is paid before you ship it.

The costs and trade-offs

• The fee. Get it in writing, and compare it with what a card payment costs you, including any platform fee.
• Refunds go through the provider. When a shopper returns a BNPL order, you refund it through Tabby or Tamara, not in cash. Ask how your fee is treated on refunds.
• Not every shopper is approved. Each shopper has their own limit, so some large orders will be declined. Keep cards and other ways to pay at checkout.
• Not every product fits. Very cheap items gain little from instalments. Providers may not accept every kind of product either, so ask when you apply.

A worked example

Rates are private, so this example uses made-up figures. Say you sell abayas at AED 600, and each sale leaves you AED 200 profit before payment fees. Suppose a BNPL order costs you AED 25 more in fees than a card payment.

If 20 orders a month use BNPL, the extra fees come to AED 500. Three extra sales a month that you would otherwise have lost bring in AED 600 of profit, which covers it. So the real question is whether BNPL brings you at least a few extra sales a month. Track it for two or three months, then decide. For every other cost of running a store, see how much an online store costs in the UAE.

How to add Tabby or Tamara to your store

The steps are the same for both.

1. Apply for a merchant account on the provider's website. They usually ask for your trade license, business details and a live store with clear prices and policies.
2. Get approved. The provider reviews your application. Get your fee and payout terms in writing, and if you sell abroad, ask which currencies you can take, such as AED and SAR.
3. Connect it to your checkout. On a custom store, your developer does this, usually through the provider's API (a link that lets your store and the provider pass orders and payments to each other). On a ready-made platform, ask the provider whether it has a plugin (an add-on) for your platform.
4. Add the instalment messages next to your prices on product pages and in the cart, such as "or 4 payments of AED 150". Ask the provider for their ready-made widgets (small boxes that show the instalments).
5. Test it. Place a real order with your own account, then refund it, so you see both sides.
6. Brief your team on how BNPL orders look in your store and how to refund them.

When we build a store, we set up Tabby and Tamara next to card payments, Apple Pay and cash on delivery. We use Tabby ourselves too: you can split the price of our packages into smaller payments with Tabby.

Tips to get more sales from Tabby and Tamara

• Show it early. Put the instalment line next to the price, so shoppers see it before they decide.
• Use clean prices. AED 600 splits into four payments of AED 150. AED 599 gives four payments of AED 149.75, which looks messy.
• Mention it in your marketing. Add "pay in 4" to ads, posts and emails before big seasons. White Friday usually falls in the last ten days or so of November, and Ramadan is expected to begin around 8 February 2027. Plan ahead with our UAE sales calendar.
• Explain refunds clearly. Say in your return and refund policy that BNPL orders are refunded through the provider.
• Sell across the Gulf. Tabby also works in Saudi Arabia and Kuwait, and Tamara in Saudi Arabia, Kuwait and Bahrain. Read selling to Saudi Arabia from the UAE before you expand.

Frequently asked questions

How much does Tabby charge merchants?

Tabby does not publish its rates. Its fee is a percentage of each sale plus AED 1, and the percentage is agreed in each merchant's contract. Ask for a written quote when you apply, and compare it with what a card payment costs you.

Do merchants get paid upfront with Tamara?

Yes. Tamara pays merchants upfront, with weekly settlements, while the shopper pays Tamara in instalments. Fees are agreed with each merchant, so check your contract for the exact terms.

Can I use Tabby and Tamara together?

Yes, you can offer both at checkout and let shoppers choose. Check that neither contract asks you to offer only its service. Expect a little more admin, with two payout reports to match against your orders.

Is there a minimum order for Tabby or Tamara?

At the time of writing, neither publishes a fixed minimum or maximum order. Each shopper has their own spending limit, so the same order may be approved for one shopper and declined for another. Ask about limits for your store when you apply.

How do I add Tabby to my website?

Apply for a Tabby business account, and once you are approved, connect Tabby to your checkout. On a custom store, your developer does this, usually through Tabby's API (a link that lets two systems pass orders and payments to each other). On a ready-made platform, ask Tabby whether it has a plugin for yours. Then add the instalment messages to your product pages and test an order. Tamara works the same way.