More Americans are using "buy now, pay later" services like Affirm and Afterpay this holiday season. Buy now, pay later usage surged by 85% during Cyber Week.
Experts worry that services like Affirm and Afterpay will put people into debt during the holidays since they're unregulated and don't require credit checks for approval. One expert even accused the services of "predatory lending", adding "People don't realize that they end up paying a lot more for that product than it's worth. Often it's the people who are already struggling with bills."
If you are going to us a buy now, pay later service, financial experts say to never have more than two installment loans at once" to avoid debt issues.