Image courtesy of American Banker
Buy now/pay later products have surged in popularity, with 40% of consumers using at least 1 BNPL product during the most recent holiday shopping season, but consumer advocates warn the fintech companies offering these products lack the federal oversight that traditional banks face. The CFPB announced a review of major BNPL providers, citing concerns that some may not be evaluating applicable consumer protection laws. The piece calls for regulatory parity to ensure consumers enjoy the same protections regardless of whether they borrow from a bank or a fintech firm.
