New Buy Now Pay Later rules and repayment guidance

Economy · First reported 1 Nov, 23:34 · Updated 00:28

Image: Wikimedia Commons · NASA Earth Observatory image by Lauren Dauphin, using Landsat data from the U.S. Geological Survey. Story by Adam Voiland. · Public domain

New UK rules require Buy Now Pay Later providers to check affordability and give customers clearer refund and complaint rights. Guidance also advises people struggling with repayments to seek help and organise what they owe.

Providers must check whether shoppers can afford BNPL borrowing, and may block those who fail the checks.
The rules give consumers clearer rights to refunds for faulty goods and complaints; people in financial difficulty should be directed to support and debt advice.
People having trouble with repayments are advised to seek help, record what they owe and use tools to plan payments.

Summary written by Lux AI from 2 articles

Key facts

BNPL affordability checks: Providers must check whether customers can afford credit before offering it.
Refunds: Consumers have clear, enforceable rights to claim refunds for faulty goods.
Repayment guidance: The BBC advises people struggling to repay loans to seek help and write down what they owe.