Buy now, pay later apps: Warning issued for services ahead of Christmas shopping splurge

Consultants have raised the alarm on purchase now pay later companies with fears Christmas spending blowouts may see households in monetary strife pressured to scrimp on family necessities.

They worry debt racked up over the festive season could result in lean weeks within the new yr when the pay later payments are available in.

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Purchase now pay later companies similar to AfterPay and Zip have soared in reputation in recent times, with shoppers not charged curiosity and as a substitute slapped with late charges in the event that they miss funds.

A worrying new report from Australias client watchdog discovered that one in 5 customers of purchase now pay later companies have been late repaying what they owe.

A staggering variety of Aussie purchase now pay later customers have been lacking their repayments. Credit score: Getty

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