Buy gas now, pay later is a hard tiger to ride, writes KarenKKwok
Klarna and Zip, “buy now, pay later” service providers, have partnered with Texaco and Chevron gas stations to allow consumers to buy gas in instalments. Chevron currently is not paying Klarna any extra fee except the interchange fee to process for the BNPL service, sources told Breakingviews.a new study showing that nearly 60% of consumers say inflation is driving them to use BNPL products, and half of respondents who used BNPL say their usage has gone up in the past six months.
According to the same study, BNPL users are using credit to cover their BNPL purchases. More than 20% say they typically use their credit cards to cover their BNPL payments. About 40% of BNPL users currently have an outstanding balance of $665, on average.A smartphone displays a Klarna logo in this illustration taken January 6, 2020.
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