Americans are using buy now, pay later more than ever. Here’s what to know if you’re one of them – WTOP News
Americans spent more than $160 billion on buy now, pay later plans last year as users stretched payments for essentials, Federal Reserve economists said.
- Surging usage of buy now, pay later plans for daily expenses like groceries and rent reflects a shifting economic reality, with usage increasing nearly 80% since 2023.
- Rising costs of everyday items often outpace incomes, forcing consumers to utilize these services for essential purchases, said Sara Rathner, NerdWallet's credit card expert.
- Americans spent more than $160 billion on these plans last year, as Jordan Williams, a lecturer from Greensboro, North Carolina, relied on them for groceries during financial hardship.
- Financial experts warn that stacking these loans can quickly lead to unmanageable debt; "some of them charge hefty fees, both upfront and if you miss a payment."
- Experts from the Stanford Graduate School recommend reading contracts carefully before committing, while the National Foundation for Credit Counseling offers resources to help those struggling regain financial control.
11 Articles
11 Articles
Americans are using buy now, pay later more than ever. Here’s what to know if you’re one of them – WTOP News
NEW YORK (AP) — Americans spent more than $160 billion last year using buy now, pay later plans, according to research published by Federal Reserve economists. Experts say they’re increasingly seeing people use the plans for everyday expenses like groceries, bills, transportation and, sometimes rent. “It has been very hard out there for a lot...
Americans are using buy now, pay later more than ever. Here's wha
NEW YORK (AP) — Americans spent more than $160 billion last year using buy now, pay later plans, according to research published by Federal Reserve economists. Experts say they’re increasingly seeing people use the plans for everyday
Americans are using buy now, pay later more than ever. Here's what to know if you're one of them
Americans are increasingly using buy now, pay later plans for everyday expenses like groceries and bills. Federal Reserve economists report that spending on these plans exceeded $160 billion last year. Pay-in-four plans made up about half of this spending. The use of these plans has surged nearly 80% since 2023. Experts advise reading the fine print, understanding credit impacts, and borrowing only what you can repay. They also recommend avoidin…
Coverage Details
Bias Distribution
- 46% of the sources are Center
Factuality
To view factuality data please Upgrade to Premium
