‘Buy Now, Pay Later’ Booms as Economic Pressures Mount

The economic winds whipped up by President Trump’s “Liberation Day” tariff proclamations in early April have been anything but a gentle breeze. Rising prices, fomenting trade wars, and uncertainty about when tariffs will go into effect has led to a volatile economic climate. People looking to buy electronics and other goods affected by the tariffs are trying to figure out whether they should wait it out to see if the administration’s trade policies become more favorable, or quickly scoop up what they can while prices are still cheap-ish. For consumers weighing a purchasing decision, buy now, pay later services like Klarna, Affirm, and Afterpay are offering to make that choice easier. These companies make a relatively straightforward case: Spread out the cost of a purchase into smaller, more manageable payments over the course of a few weeks or months. Because BNPL services make deals with the sellers they’re providing the payment plans for, the companies behind the BNPLs don’t charg ... Read full article.