No matter how strict we are with our budgets, we’re always tempted to spend a little more this holiday season. With that, people are turning more and more to a popular payment method known as Buy Now, Pay Later to finance their purchases.
While it can be very appealing, is the option right for you?
“You can use it to get a footlong sub for lunch if you want,” said Matt Schulz, chief credit analyst at LendingTree.
Buy Now, Pay Later is a form of short-term financing that offers more flexibility and can be helpful for cash-strapped shoppers. But experts warn it can carry serious financial risks if you’re not careful.
“You have an awful lot of people who are taking out these loans that aren’t 100% certain that they can pay them off under the under the terms that they agreed to. And that’s a difficult thing,” Schulz said.
These payments can add up fast if people …