Buy now, pay later helped fuel record holiday spending online in 2023, but now that those bills are coming due, consumers aren't sure how they'll pay them.
Uh not sure what service you’ve seen but the ones I’ve used in the past had no fees. The amount times all the payments was exactly the checkout cart amount for paying with CC. I’ve used them a few times on larger items and just autopayed to my CC so I get rewards and 0% loan, never had to check on the dates they were due but they also text you to remind you the autopay.
I also had to return some RAM from one of the pay services mid payments. They froze the payments with no fee and the merchant updated them automatically to let them know I did infact return it. Got the amount paid already refunded within the week.
It was for a more expensive purchase, like a 2000 or 3000 dollar item. For merchants BNPL is about twice as expensive than your average credit card fees. Do some vendors have options to pass that off to the buyer?
Also, when it comes to credit card transactions… do you get points like normal. IE if your credit card offers you warranty protection or category bonus, does the payment going to the BNPL break the category point or protection since the BNPL actually pays for the item/good/service while your credit card is just paying off the loan?
Uh not sure what service you’ve seen but the ones I’ve used in the past had no fees. The amount times all the payments was exactly the checkout cart amount for paying with CC. I’ve used them a few times on larger items and just autopayed to my CC so I get rewards and 0% loan, never had to check on the dates they were due but they also text you to remind you the autopay.
I also had to return some RAM from one of the pay services mid payments. They froze the payments with no fee and the merchant updated them automatically to let them know I did infact return it. Got the amount paid already refunded within the week.
It was for a more expensive purchase, like a 2000 or 3000 dollar item. For merchants BNPL is about twice as expensive than your average credit card fees. Do some vendors have options to pass that off to the buyer?
For returns, I see articles like this pop up from time to time which made me nervous: https://www.cnbc.com/2022/06/29/buy-now-pay-later-loans-can-get-complicated-when-you-want-a-refund.html
Also, when it comes to credit card transactions… do you get points like normal. IE if your credit card offers you warranty protection or category bonus, does the payment going to the BNPL break the category point or protection since the BNPL actually pays for the item/good/service while your credit card is just paying off the loan?