Thread by @latimes

Buy-now-pay-later apps are an updated version of the old layaway plan, except users can do it all on their phones and — most appealingly — get their purchase immediately rather than having to wait until they’ve paid for it.

latimes.com/politics/story…

The apps are taking off among Millennials and Generation Z consumers, attracted by the ability to bypass traditional credit cards and still delay payments with no interest.

latimes.com/politics/story…

But regulators in Europe and Australia, where many of the companies first launched, are increasingly concerned the apps are extending credit irresponsibly.

latimes.com/politics/story…

Using celebrities to portray the services as a hip alternative to the “gotcha” fine print of credit cards, the apps could promote overborrowing in a generation already struggling with high debt and poor credit, consumer advocates warn.

latimes.com/politics/story…

How do buy-now-pay-later apps work?

@sashahupka explains at latimes.com/politics/story…