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“Buy now, pay later” is a popular payment method for younger consumers, but a growing share of BNPL users appear to be suffering negative consequences, including lower credit scores.
Some 24% of buy now, pay later users said their credit scores declined in February “as a result of a missed or late BNPL payment,” according to a recent Morning Consult report. That was up 3 percentage points from the previous month and 3 percentage points from the previous year.
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