Many players out there fighting fiercely to get more customers, every-time making it easier to get financing, which might not necessarily be the best on the long run or in the best interest of consumers.
There has been multiple analysts and news outlets writing about this.
When 33% of users from BNPL services claim that a reason to do it is that their credit cards are already max, I see this as a potential issue.
Also as someone that has been testing & doing research on this field, it is amazing how the services differ between Europe/US and Latam (probably Africa too but I didn't dig into this one yet).
BNPL services in Latam charge quite high interest to the consumers. I'm a bit worried when I get ads to pay for sneakers over the course of 3 months and they would end up costing around 30% more, which means many people actually purchase such items in such way.
What are your guys thoughts? While easier access to credit can be quite helpful, it does seem like there might be some potential issues in the industry, particularly in these days.
There has been multiple analysts and news outlets writing about this.
When 33% of users from BNPL services claim that a reason to do it is that their credit cards are already max, I see this as a potential issue.
Also as someone that has been testing & doing research on this field, it is amazing how the services differ between Europe/US and Latam (probably Africa too but I didn't dig into this one yet).
BNPL services in Latam charge quite high interest to the consumers. I'm a bit worried when I get ads to pay for sneakers over the course of 3 months and they would end up costing around 30% more, which means many people actually purchase such items in such way.
What are your guys thoughts? While easier access to credit can be quite helpful, it does seem like there might be some potential issues in the industry, particularly in these days.