As the name suggests, buy your goods now and pay for them later! But the debate about them being useful or not lasts since the inception of these applications. And that is why we couldn’t refrain ourselves from discussing in detail about whether or not these applications are worth it!
So, without any further ado, let’s look at the buy now and pay later apps pros and some possible cons if there are any in the following segment! Let’s take a dive right in to find out more!
Are Buy Now, Pay Later apps worth it or not?
Are you a fan of the Buy Now, Pay Later concept? Do you feel it has changed the way you use your credit cards? While Bright does not make payments to BNPL services, Bright can help you pay off your credit cards fast. Bright’s MoneyScience™ AI analyzes your finances and determines how much debt you have. Bright then makes smart credit card payments that are both on time and designed to pay off your cards faster.
People often cannot measure their pros and cons and analyze whether or not they should avail themselves of buy now and pay later apps. But let me tell you, when you are choosing these applications, having a place like Bright where you are able to analyze your expenditure and eventually measure your capabilities, the entire process becomes easier.
So, now let’s get into some other details that tells you whether these applications are worth your utilization or not!
How Do The Buy Now Pay Later Apps Work?
When you wish to purchase something for yourself and are not able to pay the entire amount at once, you can avail yourself of this benefit.
At checkout, you have to select the option of buy now and pay later. At that point, you’ll need to make a 25% payment of the purchase you’ve made. For instance, if you have bought something worth $500 then, you’ll have to pay $125 at the very moment. After that, you can get an option to pay in two installments, which needs to be paid at a gap of two weeks.
However, BNPL has other plans that you can avail yourself of, for which they charge an approximate charge of 30%.
Benefits of Using Buy Now Pay Later Apps
While it’s quite convenient to use the buy now and pay later apps, people are scared and often worry about whether they can manage the pressure or not. So let’s check out the possible benefits of using these applications.
1. It’s convenient
Everyone wants to buy something expensive, but not always do we have that amount of money with us or are able to make the particular payment. In that case, these kinds of applications come to your rescue. You can pay a certain spare amount and get the opportunity to pay the rest of the amount later, which is great for a consumer.
However, having an AI-based application makes the process even easier and helps you measure your expenses and pay off your debts on time.
2. Zero-interest loans
When you are getting a loan from a bank, then you have to be sure that you are going to pay a certain amount of money as interest. But when you avail yourself of these applications, you can be sure that you wouldn’t have to pay extra interest. However, it’s true that you would in certain cases have to pay interest but that is a rare phenomenon.
3. Provide you with a soft credit check
When you are availing yourself of a buy now and pay later application, you can be sure that you are not going through a hard credit check. When you take up loans for a car or even want to go for a mortgage loan, in those cases, you’ll have to go through a hard check.
But in this case, a soft check is more than enough. And the sanction of this kind of credit only takes a few minutes.
4. Provided with a loan with a bad credit score
In case you have a poor credit score, and you are still provided with this kind of loan. At times the BNPL gives out this service to people with little or no credit score too. They charge this on their own eligibility, so it’s impossible to assess when you might get this loan. However, there are chances that you can get the opportunity of a pay later option.
5. Get approved in a jiffy
We often suffer from the fact of getting a loan approved. The entire process is long; there is a lot of scrutiny that is involved, and eventually, there is no guarantee that you can get the loan or not. However, in the case of such applications, you can make the entire process easier. One can easily get themselves these loans and that can not require a lot of your time.
So, if you are struggling to pay any of your bills or have an urgent requirement, the entire process gets much easier and swifter.
Things To Keep Note Of While Choosing A Buy Now Pay Later App
Well, everything comes with a certain pro and con. So, when you are choosing an application to avail of this service, make sure you keep certain things in mind.
1. Select a trustworthy application
It’s always good to rely on someone trustworthy, whether it’s a person or a particular application! And when it’s your money in concern, be sure you are making a wise decision.
2. Have a proper idea of your finances
As mentioned earlier, having a handy application that can help you pump up your credit score and, at the same time, help you analyze your expenses is extremely helpful.
Final Thoughts
With this, as we come to the end of our blog today, I hope you know quite a few things about how you need to go about the process of a buy now and pay later app. Moreover, we’ve given you some tips that will help you have a better grip over your finances overall.
