Discussion Paper

How Does Buy Now, Pay Later Affect Customers’ Credit?

Abstract: This paper explores the relationship between consumers’ use of buy now, pay later (BNPL) and their credit reports. We conduct this analysis to evaluate concerns that BNPL use could negatively affect consumers’ financial health.

Keywords: buy now pay later; BNPL; point-of-sale payments; consumer survey; credit reporting;

JEL Classification: D10; D18;


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Bibliographic Information

Provider: Federal Reserve Bank of Philadelphia

Part of Series: Consumer Finance Institute discussion papers

Publication Date: 2023-09-29

Number: DP23-01