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Planet Money
Planet Money

Buy now, pay dearly? (update)

Nov 12, 2025 · 25m
AI Summary
  • Buy now, pay later services (Affirm, Klarna, Afterpay) offer interest-free installments with no credit checks, attracting impulsive shoppers into debt
  • These companies profit by taking commissions from merchants who see increased sales through the service, creating a threat to traditional credit cards
  • Consumer Amelia Schmarzo maxed out her credit card in 2022 after relying on buy now, pay later purchases, illustrating the risk

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