Don’t miss another episode of Truth In Data! Click on the red bell in the lower-left of your screen to receive notifications as soon as the episode publishes.
Data for today’s episode is provided by Mercator Advisory Group’s Report: 2021 North American PaymentsInsights – Buy Now Pay Later
Younger Adults Are More Likely to Have Made Late BNPL Payments:
- Younger people are the most likely to report having missed or been late on a BNPL loan payment.
- 70% of the 18-24 age cohort missed or have been late on their loan repayment in the past 12 months.
- In comparison, just 19% of borrowers ages 65+ have missed or been late on their loan repayment.
- Borrowers ages 25-44 are significantly more likely to be late on a payment, with 48% reporting being late on a payment.
- Borrowers ages 24-44 may be more likely to make a payment late due to having more payment and life obligations to keep track of, such as child rearing and mortgage payments.
- In comparison, just 21% of borrowers 18-24 and 13% ages 65+ have been late on a loan payment.
Mercator Advisory Group has released a new primary research report titled 2021 North American PaymentsInsights – Buy Now Pay Later, summarizing the findings from the BNPL and short-term financing sections of the semi-annual North American PaymentsInsights survey of 3,001 U.S-based adults. The report aims to highlight and analyze consumer behaviors, preferences, and motivations as they relate to the rapidly expanding range of point-of-sale financing products. Readers will be presented with a detailed analysis of the impact of demographic characteristics on consumer behaviors and inclinations, general consumer trends, as well as actionable recommendations for industry players.
“The rise of buy now, pay later financing and short-term loans has implications for the consumer credit space as a whole, particularly credit card networks and issuers that have long dominated the industry. With interest rates at record lows, accelerated adoption of online shopping over the past 12 months, and high consumer satisfaction – the conditions have never been better for the reimagining of consumer credit,” stated Amy Dunckelmann, Vice President, Research Operations, Mercator Advisory Group.