What to Know Before You Click That Option
“But now, pay later” has long been a classic marketing come-on for decades, but lately, it’s been popping up as an option for online purchase. And signs are more of us are using that option. Use of BNPL (Buy now, pay later) is up 80% since 2020. Here are some facts to keep in mind:
1.) BNPL can be used instead of a credit card. Most times, but not always, the purchases are offered interest-free.
2.) Be aware, however, some do charge you interest from jump street. Moreover, should you be late or fall behind in your payments, it can trigger late charges and interest on the unpaid balance.
3.) Unlike credit cards or some online pay services, like PayPal, there is no buyer protection should you fail to get the product or service you ordered. And you may experience problems returning items should you change your mind about a purchase.
4.) Buy now, pay later can encourage you to spend more than you should. Missing or late payments can affect your credit rating, so make sure you’re budgeting correctly.
