Applications that offer comparable “buy now, pay later” (BNPL) services provide consumers with the opportunity to purchase goods and services immediately while spreading the cost over a series of installments. This payment option allows for managing expenses over time. For example, a user might acquire new furniture today but pay for it in four bi-weekly payments.
The prevalence of these applications stems from the increasing demand for flexible payment solutions, especially among individuals seeking alternatives to traditional credit cards. These platforms can facilitate access to goods and services for those with limited credit history or who prefer to avoid high-interest charges. Historically, installment payment plans were offered primarily by individual retailers; however, these apps aggregate numerous merchants into a single platform, streamlining the shopping experience.
