Buy now, pay later business Clearpay (the European branding of Afterpay) has released a new report on consumer concerns about credit.
In Brief:
‘Consumer Voices’ aimed to understand how much UK consumers understadn about credit products.
It found consumers are concerned by their credit score and its impact on their future, but 40% of people say the scores confuse them.
Three in five 18-34 year olds have said they believe buy now, pay later options will help them budget their outgoings.
What does this mean?
With the report highlighting an increasing interest in credit options as well as a concern about their impact on customers’ financial future, Clearpay is using it to call for more transparency around fees and interest rates, as well as credit ratings and reports, in the financial services sector.
It’s also using the report as an opportunity to highlight that while 60% of consumers are worried about interest and fees from credit cards, many BNPL options don’t charge interest or fees.
