Consumers are expected to use “buy now, pay later” payment plans heavily this holiday season, a forecast that bodes well for retailers but that has credit experts again sounding alarm bells.
Why would you not use it? They offer 0% interest at a time when interest rates are sky high.
Someone needs to pay that interest and my guess is that it’s built into the price. So you basically pay more by not using it.
I have seen this before. What happens is they offer a grace period like 6mo or 1yr. If you don’t pay off by then you get charged the entire grace period of interest added to the balance.
0% interest is the first step on the enshittification of debt. There is benefit to using it and you become accepting and complacent. The last step will be debtors prison.
Why would you not use it? They offer 0% interest at a time when interest rates are sky high. Someone needs to pay that interest and my guess is that it’s built into the price. So you basically pay more by not using it.
I have seen this before. What happens is they offer a grace period like 6mo or 1yr. If you don’t pay off by then you get charged the entire grace period of interest added to the balance.
So in the end your pay for the interest.
If you don’t pay it off in time
To be clear, I still think they’re toxic and think they should be banned. But you basically pay more by not using them today.
0% interest is the first step on the enshittification of debt. There is benefit to using it and you become accepting and complacent. The last step will be debtors prison.