Spent too much money on retail therapy and now feeling the pinch of multiple Buy Now Pay Later (BNPL) repayments? You’re not alone.
A recent report from ASIC showed that one in five BNPL customers are missing their repayments. In 2018-2019 alone, over 45% (or 1.1 million) of transactions that were missed payments incurred a late payment fee.
While most providers don’t charge interest, many charges late fees for each missed payment and these are charged on per purchase. If you have multiple purchases, this could add up!
The costs of a late or missed payment
While BNPL is a convenient way to shop, it could be problematic later down the track if you’re not able to meet your repayment obligations. Late or missed payments may be reported to the credit bureau which can impact your credit score.
Additionally, the ASIC report showed that 20% of customers surveyed said they had to cut back on essentials like a meal, in order to make their BNPL repayments.
Spread your repayments over a longer period
If your BNPL repayments are piling up and you’re feeling overwhelmed about the multiple repayments, Credit24 could help. Consolidate all your repayments into one manageable Credit24 account and relieve your stress.
Credit24 gives you the flexibility to spread your repayments over 36 months. This could reduce your fortnightly instalments into a more manageable and affordable amount.