'PayPal Credit,' the new name of PayPal's 'Bill Me Later,' is exactly what it sounds like: It's a credit line that you can access through PayPal.

When you apply for PayPal Credit, you provide your date of birth and the last four digits of your Social Security number, and their partner Comenity Capital Bank will let you know if you're approved 'in seconds,' according to their FAQs. If you're approved, you can access at least $250 worth of credit, and in some cases you might get a small bonus, such as $10 back.

Available anywhere that accepts PayPal, 'as well as thousands of other online stores,' PayPal Credit lets you hold off paying for purchases for up to six months without any interest.

No doubt, this will interest some people, but there are a few reasons why you should hesitate to sign up.

PayPal Credit, formerly named Bill Me Later, is a proprietary payment method offered on the websites of many well-known merchants, including those of Wal-Mart, Home Depot, USPS, B&H Photo Video, Best Buy, Overstock.com, JetBlue Airways, Liquidation Channel, Jewelry Television and Hotels.com.[2] The site, which offers consumers a line of revolving credit through Comenity Capital Bank, allows purchases to be made online without using a credit card. The company was one of the first recipients of the Red Herring Global 100 Award by the publication Red Herring.[3]

On November 7, 2008, eBay subsidiary PayPal completed its acquisition of Bill Me Later. It was formerly owned by I4 Commerce.[4]