BNPL Finds an Audience Among Super-Prime Shoppers
Consumers who spread their purchases across several buy now, pay later (BNPL) providers are also the ones most prepared to pay for something BNPL was built to avoid: interest. That distinction may impact how far the product can move beyond Pay in 4. The PYMNTS Intelligence report “Beyond Pay in 4: Many BNPL Buyers Would […] The post BNPL Finds an Audience Among Super-Prime Shoppers appeared first…
Buy now, pay later (BNPL) services are gaining traction among consumers who use multiple providers, with 82% of heavy multi-provider users willing to pay interest for longer repayment periods, compared to 46% of those who use only one provider. This suggests that BNPL's most active customers could serve as a natural market for longer-duration credit products.
The report "Beyond Pay in 4: Many BNPL Buyers Would Pay for More Time" found that beyond the 82% in favor of longer repayment schedules, 14% would not accept interest, and 21% neither agreed nor disagreed. Among BNPL users, purchases above $500 showed the highest willingness to pay interest, at 76%. Credit quality also plays a role, with super-prime users showing the highest interest in longer repayment periods (76%) compared to prime and subprime users.
Providers should focus on offering greater choice in repayment periods, as 88% of BNPL users desire the ability to choose the number of payments for a purchase.
Written by urgent.news from PYMNTS's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.