Research Reveals Lack of Awareness Among UK Buy Now, Pay Later Users About Late Payment Fees
Highlights:
- Low awareness: Only 52% of BNPL users in the UK are aware of late payment fees.
- Uncertainty about fees: 50% of users don’t know the exact amount of late fees before incurring them.
- Regulation pending: UK government plans to regulate BNPL under the FCA, but it won’t be in place until 2026 at the earliest.
Summary: A recent study by RFI Global for the Lending Standards Board (LSB) found that just half of BNPL users in the UK are aware of late payment fees, and even fewer know the exact amounts.
The research highlights the need for increased awareness and proactive outreach, especially for those experiencing financial difficulties. The UK government has announced plans to regulate BNPL services, but these regulations won’t take effect until 2026.
