Online shopping is a great boon these days. Youngsters don’t want to wander around the streets just to buy their favorite stuff. And to lure them with great shopping experience, online vendors always come up with something exciting. The latest one is ‘Buy now pay later’ feature. So, before jumping to grab the feature, let’s first have better insights into the topic in order to gain clear understanding of what it is about and how it actually works.
What is buy now pay later (BNPL) scheme?
Basically, BNPL is a credit shopping scheme where the buyer is given specific limit to shop online, while allowing to make the payment later. It works almost similar to that of a credit card, where the user is extended pre-specified credit limit. But, the only difference here is that BNPL scheme is only available to shop on a certain e-commerce platform. In addition, BNPL is available to every user who is shopping online.
How buy now pay later online scheme works?
It is an interest bearing feature under which user is allowed to make immediate purchases and delay the payments for up to 12 months, subject to the purchase amount. The tenure of the scheme begins from the date of order. Once the order is placed, user has to ensure timely repayments of the purchase value in order to avoid penalty charges.
Benefits of BNPL scheme:
Immediate purchase solution – It is an undeniable fact that we all face financial crisis during some days of every months. And the funny part is that most of the online shopping offers come during this period only. Therefore, to address this gap, buy now pay later offer comes handy to make immediate purchase, while carrying forward the payment to subsequent months.
Easy big ticket purchases – It’s always tough to shell out heavy amount all at once to make a big ticket purchase. In fact, we often delay such purchases due to lack of proper cash flow. Thus, BNPL scheme comes handy to make big ticket purchases easier and convenient without making the financial budget shatter. You can conveniently spend big without hampering everyday financial needs.
Delivering unmatched experience – Buy now pay later offer was introduced with primary objective of delivering pleasant and unmatched shopping experience to the users, so that budgeting should never be a concern while shopping online.
Boosts overall sales – Besides benefitting the buyers, buy now pay later scheme is also beneficial for the sellers as well. Because now user doesn’t worry about the budget thing, the sellers have got an opportunity to boost their overall sales. Hence, it can be said that BNPL is a two-way beneficial scheme.