Consumers Increasingly Using Buy-Now-Pay-Later Services for Shoes, Sweaters, Makeup
September 30th, 2019Via: Wall Street Journal:
Gone are the days when special financing plans were mostly reserved for big-ticket purchases like TVs and refrigerators. Now, sweaters, makeup or other everyday items can be paid for in installments with loans or other payment plans offered at checkout with thousands of merchants in the U.S., including Walmart Inc., Urban Outfitters Inc. and, soon, H&M . Some Amazon.com Inc. credit-card users can also sign up for these plans.
Merchants and lenders are tapping into the financial challenges many U.S. families are facing. Despite signs of a strong economy, like low unemployment, consumers are increasingly relying on borrowing to fund their daily lives. U.S. consumer debt is higher than ever, as cars, college, housing and medical care grow more expensive but incomes stay largely stagnant.
