The Take Are 'Buy Now, Pay Later' platforms trapping people in debt?
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Nov 28, 2025 Emily Stewart, a Senior Correspondent at Business Insider, dives into the booming 'buy now, pay later' trend, explaining its appeal and rapid rise during major shopping events. She highlights the demographics most targeted, including younger consumers and those with limited credit histories. Stewart raises concerns over risks like debt stacking and the lack of regulation, while BNPL firms argue their practices are less harmful than traditional credit. She also offers guidelines for responsible usage, emphasizing the importance of treating BNPL as a real loan.
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Instant Ownership, Delayed Cost
- Buy Now, Pay Later gives instant ownership while spreading payments into short interest-free installments.
- The model mimics layaway but delivers the product immediately, increasing impulse purchases.
Peloton Moment Of Discovery
- Emily Stewart first noticed Buy Now, Pay Later while shopping for a Peloton bike but didn’t use it.
- The service started for big purchases but now appears at nearly every online checkout.
Used For Essentials, Not Just Splurges
- Consumers use Buy Now, Pay Later even for groceries and takeout when budgets are tight.
- That use signals broader financial strain rather than mere impulse buying.