Since Klarna launched in the UK in 2014, Buy Now, Pay Later (BNPL) has exploded into the consciousness of online shoppers

According to a survey, more than a third of Britons (37%) have already used this form of credit and almost half of 25 to 34-year-olds now choose to defer payments with interest free, short-term BNPL at least some of the time.

Until now, credit bureaux have not had access to information about consumers’ use of BNPL. There was therefore, no awareness among lenders of the number of BNPL accounts a consumer might have, or of those accounts’ consequences for creditworthiness. Without lenders sharing data, there has been a gap in their understanding of how people use BNPL, and of whether they could afford the loans they are taking out.

Download our report “Getting the full picture: Making Buy Now, Pay Later payments visible” for insights into Buy Now, Pay Later usage.

What’s covered in this report?

We take a look at four key questions around Buy Now, Pay Later to help lenders better understand the benefits and opportunities BNPL data can bring.

Download the report now

95% of BNPL Purchases are for £180 or less

Who is using BNPL, how much are they spending, and how risky are they?

Better credit and affordability assessments with BNPL Data

With concerns around consumer perception of BNPL as a credit-agreement - how can we use the data to better assess affordability?

How Buy Now, Pay Later data sharing works

Payment in installments is now an important part of the credit industry. So How does Experian's approach to BNPL data sharing impact on credit scores?

Sharing BNPL data - how can consumers benefit?

We discuss five key ways consumers can benefit from the sharing of BNPL data.

Report highlights include:

Thumbnail showing a glimpse inside Buy Now, Pay Later report
  • BNPL myth-busting

    What our early data analysis suggests about the market, and the BNPL myths that our analysis is exposing

  • Benefits for lenders

    How BNPL data sharing can improve affordability and creditworthiness checks

  • Benefits for consumers

    Ways in which BNPL data sharing could benefit consumers too

  • How can we help?

    How BNPL data sharing is happening via Experian

A sneak peek into…

Getting the full picture: Making Buy Now, Pay Later payments visible

BNPL myth-busting: Who’s using it, how much are they spending, and how risky are they?

The underlying assumptions debated are that BNPL is used:

  • predominantly by young people with limited incomes and transient lifestyles.
  • to pay for frequent, low-value purchases using a cheap and readily available source of credit.

As a result, it is often seen as a more risky form of lending.

But are these assumptions correct?

Using data from BNPL lenders requesting credit checks, Experian has obtained a more detailed and comprehensive understanding of BNPL users and their defining features. Our findings look somewhat different to the popular stereotypes.

BNPL is used only for low-value purchase

Some of it is, but not all. In fact, we found that the average purchase using BNPL was similar to that on a credit card, at £65.

Myth 2

BNPL is simply an easier way to pay

Consumers see BNPL as a simple, quick and convenient way to pay. But, as shoppers receive goods for which payment is deferred, it’s also a form of credit.

Myth 3

Only Gen Z shoppers aged 25 and below and using BNPL


Did you enjoy the read?

Download the report "Getting the full picture: Making Buy Now, Pay Later payments visible"

Find out how visibility of BNPL data and accurate insight into it’s use can help lenders assess affordability at a more granular level.

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Download the report: "Getting the full picture: Making Buy Now, Pay Later payments visible"

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