Customers who want to spend over £400 online with e-commerce giant, Amazon, now have the option of taking out a loan to cover the upfront cost and then repay the balance on a monthly basis, according to the Guardian.

Analysts argue that this could be just the latest in a series of shakeups that Amazon has initiated, as a result of introducing new services which step in to areas inhabited by established retailers.

Last month, its expanded grocery scheme saw shares in Ocado take a tumble and now there are predictions over how Amazon Pay Monthly will impact the likes of John Lewis.

People who decide to take up this offer will be able to customise their repayment period between two and four years, while there will be a 16.9 per cent interest rate to take into account. Furthermore, there is no need for a deposit to be paid, although this offer is not eligible for products which are not sold and distributed directly by Amazon, ruling out products from third party sellers.

It is expected that items in the furniture and consumer electronics categories will benefit the most from having the option to pay nothing upfront. And, interestingly, the company behind the loan scheme, Hitachi Capital, is also partnered with John Lewis.

Amazon released a statement following the announcement of its Pay Monthly service, indicating that it should help customers make purchases with confidence, thanks to the flexibility of the loans that are available.

Some believe that a new set of customers will start to use Amazon’s site to make purchases now that larger sums can be repaid over a number of years. And yet the further expansion of Amazon will, no doubt, cause problems for its commercial rivals.