Valuetainment "No Excuse For IGNORANCE" - BNPL Debt EXPLODES To $20B Record High
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Jan 15, 2026 Tom, a financial commentator, and a regular panel contributor dive into the explosive rise of Buy Now, Pay Later (BNPL) spending, hitting a staggering $20 billion. They discuss how consumers, especially Gen Z, face hidden dangers with multiple BNPL accounts and rising debt. Tom highlights troubling changes in FICO reporting and the potential for late fees to rival high credit card interest. The panel also debates the impact of inflation and the need for clear disclosures, urging parents to educate their children about the risks of BNPL.
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Holiday BNPL Surge Reveals Hidden Debt
- Americans spent a record $20 billion on BNPL during the 2025 holiday season, up 9.8% from 2024.
- BNPL advertises interest-free plans but can drive significant hidden consumer debt accumulation.
Card Debt Rebounded To New Highs
- Credit card debt fell during COVID then climbed to an all-time high of $1.26 trillion by early 2026.
- Rising card balances coincided with explosive BNPL user growth, compounding household leverage.
Reporting Gaps Enabled Stacking Behavior
- BNPL historically avoided credit reports, letting consumers stack loans without immediate scoring consequences.
- That regulatory gap encouraged heavier use while traditional cards were maxed out.