Experts’ warning for customers using ‘buy now, pay later’ credit
11 months, 2 weeks ago

Experts’ warning for customers using ‘buy now, pay later’ credit

The Independent  

Get the free Morning Headlines email for news from our reporters across the world Sign up to our free Morning Headlines email Sign up to our free Morning Headlines email SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our privacy policy Many customers who have become reliant on ‘buy now, pay later’ credit have racked up unmanageable debt and are in need of emergency support, Citizen Advice warns. open image in gallery Use of ‘buy now, pay later’ has soared ) “Many of them require emergency support, like food bank vouchers, which is ringing alarm bells that lenders are failing to protect people from the risk of unmanageable debt.” More than £1 in every £7 spent online in the first three months of 2024 was from a pay later scheme, according to figures compiled by Adobe Digital Insights. There has also been a jump in Baby Boomer and Generation X age groups using buy now, pay later to fund baby products, according to new data. Labour MP Stella Creasy noted that the government closed their consultation on “buy now, pay later” regulation yet there is not yet regulation and she deems this delay has plunged more people into debt.

Debt Pay Buy Later Bnpl  morning  regulation  sign  headlines  later  pay  warning  buy  baby  credit  debt  customers  experts  using

History of this topic

Intrigued by buy-now, pay-later loans? Experts break down 6 pros and cons
1 week, 6 days ago

Intrigued by buy-now, pay-later loans? Experts break down 6 pros and cons

NPR  

Intrigued by buy-now, pay-later loans? For people with no or limited credit history, or those who are worried about dinging their credit score, BNPL loans can be a convenient way to free up cash flow, deHaan says. Unlike credit cards and bank loans, BNPL loans don't often require a hard credit check, deHaan says. Sponsor Message Another significant factor for …

Why more Americans are turning to Buy Now, Pay Later payment plans, in 4 charts
3 months, 1 week ago

Why more Americans are turning to Buy Now, Pay Later payment plans, in 4 charts

CNN  

CNN — Buy now, Pay Later services had their best day yet on Cyber Monday, with consumers spending a record-breaking $991.2 million, according to Adobe Analytics. BNPL payment plans especially influence shoppers who usually spend less and are more reliant on credit cards, said Dionysius Ang, a consumer researcher and associate professor at the University of Leeds in England. “The …

‘Buy now, pay later’ is more popular than ever. It can cost more than you think
3 months, 3 weeks ago

‘Buy now, pay later’ is more popular than ever. It can cost more than you think

LA Times  

More shoppers than ever are on track to use “buy now, pay later” plans this holiday season, as the ability to spread out payments looks attractive at a time when Americans still feel the lingering effects of inflation and already have record-high credit card debt. Buy now, pay later can be particularly appealing to consumers who have low credit scores …

‘Buy now, pay later’ is more popular than ever. It can cost more than you think
4 months ago

‘Buy now, pay later’ is more popular than ever. It can cost more than you think

Associated Press  

NEW YORK — More shoppers than ever are on track to use ‘buy now, pay later’ plans this holiday season, as the ability to spread out payments looks attractive at a time when Americans still feel the lingering effect of inflation and already have record-high credit card debt. Buy now, pay later can be particularly appealing to consumers who have …

Budget 2024: Martin Lewis sends warning over Buy Now Pay Later crackdown
5 months, 1 week ago

Budget 2024: Martin Lewis sends warning over Buy Now Pay Later crackdown

The Independent  

Sign up for the View from Westminster email for expert analysis straight to your inbox Get our free View from Westminster email Please enter a valid email address Please enter a valid email address SIGN UP I would like to be emailed about offers, events and updates from The Independent. Please try again later {{ /verifyErrors }} Martin Lewis has …

What the new 'buy now, pay later' rule means for small businesses offering the service
9 months, 2 weeks ago

What the new 'buy now, pay later' rule means for small businesses offering the service

Associated Press  

NEW YORK — “Buy now, pay later” services are a popular way that shoppers pay for goods. If something goes wrong, consumers could blame the small business — even if they have nothing to do with the payment plan. AP AUDIO: What the new ‘buy now, pay later’ rule means for small businesses offering the service AP correspondent Mae Anderson …

Users of buy now, pay later services to undergo credit checks under proposed new law
9 months, 3 weeks ago

Users of buy now, pay later services to undergo credit checks under proposed new law

ABC  

In short: Proposed new legislation will require buy now, pay later services to do basic credit checks on new customers to make sure they can afford the service. Proposed new legislation will require buy now, pay later services to do basic credit checks on new customers to make sure they can afford the service. Users of buy now, pay later …

Buy now, pay later companies must adhere to credit card standards, consumer agency says
10 months ago

Buy now, pay later companies must adhere to credit card standards, consumer agency says

Associated Press  

NEW YORK — Buy now, pay later companies must provide consumers with the same legal rights and protections as credit card lenders do, the Consumer Financial Protection Bureau said Wednesday in a new rule. “Regardless of whether a shopper swipes a credit card or uses Buy Now, Pay Later, they are entitled to important consumer protections under longstanding laws and …

Klarna CEO Siemiatkowski says buy now, pay later is used by shoppers who otherwise avoid credit
1 year, 3 months ago

Klarna CEO Siemiatkowski says buy now, pay later is used by shoppers who otherwise avoid credit

Associated Press  

NEW YORK — Sebastian Siemiatkowski is a co-founder and CEO of Klarna, the Sweden-based company that’s one of the world’s biggest providers of buy now, pay later services to customers. Buy now, pay later has become an increasingly popular option for consumers for purchases: its usage is up 10-fold since the pandemic and U.S. regulators see it as potentially a …

Klarna CEO Siemiatkowski says buy now, pay later is used by shoppers who otherwise avoid credit
1 year, 3 months ago

Klarna CEO Siemiatkowski says buy now, pay later is used by shoppers who otherwise avoid credit

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our privacy policy Sebastian Siemiatkowski is a co-founder …

Want to buy now, pay later this holiday season? Ask yourself these 5 questions first
1 year, 4 months ago

Want to buy now, pay later this holiday season? Ask yourself these 5 questions first

LA Times  

“Buy now, pay later” payment plans are a popular financing option, especially around the holiday season. “Buy now, pay later,” a type of payment plan that divides the total cost of your purchase into smaller installments, is offered at most major retailers, including Walmart, Target and Amazon. The short application, immediate approval decision and no hard credit check can make …

More Americans are expected to ‘buy now, pay later’ for the holidays. Analysts see a growing risk
1 year, 4 months ago

More Americans are expected to ‘buy now, pay later’ for the holidays. Analysts see a growing risk

Associated Press  

NEW YORK — Consumers are expected to use “buy now, pay later” payment plans heavily this holiday season, a forecast that bodes well for retailers but that has credit experts again sounding alarm bells. Vivek Pandya, lead analyst for Adobe Digital Insights, said that “rising interest rates, inflation in food prices, and resuming student loan repayments” have increased costs for …

Fifth of buy now, pay later customers ‘have used the credit to fund essentials’
1 year, 6 months ago

Fifth of buy now, pay later customers ‘have used the credit to fund essentials’

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Please enter a valid email address Please enter a valid email address SIGN UP I would like to be emailed about offers, events and updates from The Independent. MaPS is an arm’s-length body …

Buy now, pay later services will be considered credit products by the end of the year. Here's how it will work
1 year, 10 months ago

Buy now, pay later services will be considered credit products by the end of the year. Here's how it will work

ABC  

Australia has joined the UK in regulating the buy now, pay later industry, under sweeping changes announced by the Financial Services minister on Monday. Financial Services Minister Stephen Jones told a borrowing and lending conference in Sydney that buy now, pay later "looks like credit, it acts like credit, it carries the risk of credit" and therefore the services would …

Should you buy now, pay later for your wedding?
1 year, 11 months ago

Should you buy now, pay later for your wedding?

LA Times  

“Buy now, pay later” plans let you break up your wedding purchases into smaller installments that you pay over a series of weeks or months. Couples may turn to increasingly popular “ buy now, pay later ” payment plans to ease the burden. “It’s a way to pay in bite-sized amounts that fits into how couples are used to budgeting.” …

The downsides of the ‘buy now, pay later’ trend
1 year, 11 months ago

The downsides of the ‘buy now, pay later’ trend

LA Times  

Starting this week, Apple is rolling out its version of “buy now, pay later.” Using a short-term loan to finance a small or medium purchase — Apple says Pay Later loans will be available in amounts from $50 to $1,000 — is “sold like a no-brainer” to consumers, personal finance expert Carmen Perez said. And there’s still negative consequences for …

Apple rolls out buy now, pay later service, with guardrails
1 year, 11 months ago

Apple rolls out buy now, pay later service, with guardrails

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Please enter a valid email address Please enter a valid email address SIGN UP I would like to be emailed about offers, events and updates from The Independent. Branded as “interest-free loans,” buy …

How to stop using buy now, pay later services (and make it stick)
2 years ago

How to stop using buy now, pay later services (and make it stick)

ABC  

The government is trying to tighten buy now, pay later regulations by the end of 2023. How to work out whether the way you're using BNPL services is concerning "With the cost-of-living crisis, rising interest rates and rents, BNPL services have the power to impact anyone's financial wellbeing, but especially low-income earners," Ms Zhong says. Both experts say some signs …

Buy now pay later to impact credit scores of millions
2 years, 2 months ago

Buy now pay later to impact credit scores of millions

The Telegraph  

Buy now, pay later payments are to impact the credit scores of millions of people for the first time, The Telegraph can reveal. Zilch, a British buy now pay later business with three million users, is to start sharing data on customers' balances and repayments with credit rating agencies in a move that could see people’s ability to borrow restricted …

Buy Now, Pay Later: What is BNPL? Popular E-commerce Payment Option Explained
2 years, 3 months ago

Buy Now, Pay Later: What is BNPL? Popular E-commerce Payment Option Explained

News 18  

Buy now, pay later is a fast-growing financial model most prominently visible on e-commerce and quick commerce websites. Apart from deferred payment, several BNPL service providers also allow for payment in equated monthly instalments once the interest-free deferred repayment tenure ends. The major BNPL brands in India include LazyPay, Simpl, Amazon Pay Later, Flipkart Pay Later, and ZestMoney. In case …

In a year marked by inflation, 'buy now, pay later' is the hottest holiday trend
2 years, 3 months ago

In a year marked by inflation, 'buy now, pay later' is the hottest holiday trend

NPR  

In a year marked by inflation, 'buy now, pay later' is the hottest holiday trend Enlarge this image toggle caption Peter Dazeley/Getty Images Peter Dazeley/Getty Images Buy something now, pay later: It's changing how we shop. "With 'buy now, pay later,' I feel more — I don't know if responsible — but I feel more on top of it," says …

The problems with using buy now, pay later to fund travel
2 years, 3 months ago

The problems with using buy now, pay later to fund travel

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. Companies like American Airlines, United Airlines and vacation rental …

‘Buy-now, pay-later’ firms under U.S. regulator’s scanner
2 years, 6 months ago

‘Buy-now, pay-later’ firms under U.S. regulator’s scanner

The Hindu  

The U.S. Consumer Financial Protection Bureau plans to start regulating “buy-now, pay-later” companies like Klarna and Affirm Holdings due to worries their fast-growing financing products are harming consumers, the agency said on Thursday. In particular, the CFPB said because BNPL providers do not give data to credit reporting agencies, lenders might have an incomplete picture of a borrower's liabilities, including …

As ‘buy now, pay later’ plans grow, so do delinquencies
2 years, 6 months ago

As ‘buy now, pay later’ plans grow, so do delinquencies

Associated Press  

NEW YORK — Americans have grown fond of “buy now, pay later” services, but the “pay later” part is becoming increasingly difficult for some borrowers. Given those features, consumer advocates and financial advisors initially had seen buy now, pay later plans as a potentially healthier form of consumer debt if used correctly. “If these buy now, pay later plans are …

EXPLAINER: What to know about ‘buy now, pay later’
2 years, 6 months ago

EXPLAINER: What to know about ‘buy now, pay later’

Associated Press  

NEW YORK — Since the start of the pandemic, the option to “buy now, pay later” has skyrocketed in popularity, especially among young and low-income consumers who may not have ready access to traditional credit. Branded as “interest-free loans,” buy now, pay later services require you to download an app, link a bank account or debit or credit card, and …

As 'buy now, pay later' plans grow, so do delinquencies
2 years, 6 months ago

As 'buy now, pay later' plans grow, so do delinquencies

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. Given those features, consumer advocates and financial advisors initially …

Martin Lewis hits out at ‘painfully slow’ changes to buy now, pay later rules
2 years, 9 months ago

Martin Lewis hits out at ‘painfully slow’ changes to buy now, pay later rules

The Independent  

Get the free Morning Headlines email for news from our reporters across the world Sign up to our free Morning Headlines email Please enter a valid email address Please enter a valid email address SIGN UP I would like to be emailed about offers, events and updates from The Independent. Please try again later {{ /verifyErrors }} Consumer expert Martin …

What to know before your business adds buy now, pay later
3 years ago

What to know before your business adds buy now, pay later

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our privacy policy “Buy now, pay later” is …

NatWest will enter the buy now, pay later market this summer
3 years ago

NatWest will enter the buy now, pay later market this summer

The Independent  

Get the free Morning Headlines email for news from our reporters across the world Sign up to our free Morning Headlines email Sign up to our free Morning Headlines email SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our privacy policy NatWest plans to enter the buy now, pay later market, …

Beware! Buy now pay later can impact your credit score
3 years ago

Beware! Buy now pay later can impact your credit score

Live Mint  

When you buy something on digital marketplace, or use the post-paid services of cab aggregator, the service will naturally look tempting at the outset. Cab aggregator app Ola-run ‘Ola Money’ enables customers to pay for Ola rides and even pay for a range of other services including cinema, movies, shopping, medicines, among others. Amazon also offers a similar facility known …

Liz Weston: How buy now, pay later loans could alter credit
3 years ago

Liz Weston: How buy now, pay later loans could alter credit

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. Recently, the three major credit bureaus announced plans to …

Buy now, pay later firms making contract terms fairer and easier to understand
3 years, 1 month ago

Buy now, pay later firms making contract terms fairer and easier to understand

The Independent  

Sign up to our free money newsletter for investment analysis and expert advice to help you build wealth Sign up to our free money email for help building your wealth Sign up to our free money email for help building your wealth SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our …

Debt charity issues warning over Buy Now, Pay Later
3 years, 2 months ago

Debt charity issues warning over Buy Now, Pay Later

The Independent  

Stay ahead of the curve with our weekly guide to the latest trends, fashion, relationships and more Stay ahead of the curve with our weekly guide to the latest trends, fashion, relationships and more Stay ahead of the curve with our weekly guide to the latest trends, fashion, relationships and more SIGN UP I would like to be emailed about …

What is buy now pay later (BNPL)?
3 years, 3 months ago

What is buy now pay later (BNPL)?

Live Mint  

Buy now pay later is a short-term credit facility extended either by banks or online merchants through their tie ups with banks or NBFCs. These facilities usually allow customers to pay for their purchases later as they buy goods on credit for a period anywhere between 15 days to 365 days. HDFC Bank offers pay later option, known as FlexiPay, …

‘Buy now, pay later’ catches on just in time for holidays
3 years, 3 months ago

‘Buy now, pay later’ catches on just in time for holidays

Associated Press  

SAN FRANCISCO — As Americans shop for the holidays, they will likely see a swarm of offers to get their gifts now but pay for them later in fixed monthly installments. One major credit card company says roughly six out of every 10 of its U.S. customers started a buy now, pay later program for the first time this year, …

'Buy now, pay later' catches on just in time for holidays
3 years, 3 months ago

'Buy now, pay later' catches on just in time for holidays

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. One major credit card company says roughly six out …

The Hidden Dangers of ‘Buy Now, Pay Later’ Apps
3 years, 4 months ago

The Hidden Dangers of ‘Buy Now, Pay Later’ Apps

Wired  

“Buy Now, Pay Later” apps give millions of users the chance to instantly purchase what they want, then pay off the item in installments. While online shopping soared last year during the pandemic, credit card companies kept credit limits low and reduced new offers as lockdowns and layoffs prompted fears of widespread defaults. Several users of Flex, a BNPL app …

Buy now, pay later services such as Afterpay and Zip can become a debt trap. Here's how not to get caught
3 years, 4 months ago

Buy now, pay later services such as Afterpay and Zip can become a debt trap. Here's how not to get caught

ABC  

Have you racked up a bit of debt with all of that online shopping during lockdown? ASIC's Moneysmart website says you should make sure you include your buy now, pay later payments in your budget, and link any accounts you have to a debit card instead of a credit card so you don't get hit with credit interest. "Remember the …

Buy-now pay-later debt bubble passes £4bn
3 years, 4 months ago

Buy-now pay-later debt bubble passes £4bn

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Please enter a valid email address Please enter a valid email address SIGN UP I would like to be emailed about offers, events and updates from The Independent. The debt bubble is expected …

Crackdown on buy now pay later sector looms as consultation is launched
3 years, 5 months ago

Crackdown on buy now pay later sector looms as consultation is launched

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. Buy now pay later borrowing can be like quicksand …

Online shoppers ‘bombarded’ with buy now, pay later schemes – Which?
3 years, 5 months ago

Online shoppers ‘bombarded’ with buy now, pay later schemes – Which?

The Independent  

Sign up to our free money newsletter for investment analysis and expert advice to help you build wealth Sign up to our free money email for help building your wealth Sign up to our free money email for help building your wealth SIGN UP I would like to be emailed about offers, events and updates from The Independent. While BNPL …

Citizens Advice reveals dark truth about buy now, pay later
3 years, 6 months ago

Citizens Advice reveals dark truth about buy now, pay later

The Independent  

Looking at the latest Citizens Advice research on the subject of the booming buy now, pay later industry, I was struck by a sudden sense of deja vu. BNPL operators don’t usually charge any interest at all, at least not on their plain vanilla products, which let people pay after 30 days or via a small number of monthly instalments. …

Buy now pay later and its financial inclusion scope
3 years, 6 months ago

Buy now pay later and its financial inclusion scope

Live Mint  

US fintech giant Square recently announced an all-stock acquisition of ‘buy now pay later’ leader Afterpay. Launched in 2015 by Afterpay in Australia, BNPL is a way for users to pay later for their e-commerce buys with limited credit checks and a slick payment experience. PayPal is a notable incumbent which launched a pay later product Pay in 4, while …

How to make the best of Buy Now, Pay Later
3 years, 7 months ago

How to make the best of Buy Now, Pay Later

Live Mint  

What are the various options you have to pay when you purchase a product or service? It means that you get to make a purchase right now, but are allowed to pay later without using a credit card. Some, such as LazyPay, have tie-ups with more than 300 merchant networks, and allow you to make payments upfront to merchants with …

Over-long terms and conditions prompt more fears over ‘buy now pay later’ debt
3 years, 11 months ago

Over-long terms and conditions prompt more fears over ‘buy now pay later’ debt

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. However, a study by the comparison website NerdWallet showed …

Klarna: How the changes to buy now, pay later rules will affect you
4 years, 1 month ago

Klarna: How the changes to buy now, pay later rules will affect you

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our privacy policy Buy now, pay later firms …

Crackdown as ‘buy now pay later’ schemes including Klarna to be regulated
4 years, 1 month ago

Crackdown as ‘buy now pay later’ schemes including Klarna to be regulated

The Independent  

Get the free Morning Headlines email for news from our reporters across the world Sign up to our free Morning Headlines email Sign up to our free Morning Headlines email SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our privacy policy 'Buy now pay later' firms are facing a crackdown amid …

Retailers still won't be able to charge customers who use buy now, pay later, says RBA
4 years, 3 months ago

Retailers still won't be able to charge customers who use buy now, pay later, says RBA

ABC  

Buy now, pay later providers such as Afterpay and Zip can continue to prevent retailers imposing a surcharge when shoppers use the services, Reserve Bank governor Philip Lowe says. "The board's preliminary view is that the buy now, pay later operators in Australia have not yet reached the point where it is clear that the costs arising from the no-surcharge …

One in five consumers using buy now, pay later miss payments, but ASIC stops short of imposing new regulation on the sector
4 years, 4 months ago

One in five consumers using buy now, pay later miss payments, but ASIC stops short of imposing new regulation on the sector

ABC  

Australia's corporate watchdog says some consumers are having to cut back on essentials such as meals because of debt they have racked up from using buy now, pay later, warning one in five consumers are missing payments. Key points: ASIC has stopped short of recommending that buy now, pay later players be regulated in the same way as credit card …

Discover Related