Buy Now Pay Later Statistics 2026
This page collects 52 figures on buy now, pay later (BNPL): how many people use it, how big the market is, holiday and online spending, the largest providers, late payments and defaults, the UK market and why people use it. Most figures cover the US in 2025 and 2026, with lender data from the CFPB going back to 2019 and UK data from the FCA's 2024 Financial Lives survey. Sources are the Federal Reserve Board, the Richmond and New York Feds, the CFPB, the FCA, company filings from Affirm, Klarna, Sezzle and Block, checkout data from Adobe and Worldpay, and surveys run by Bankrate and Experian, plus research from the JPMorganChase Institute.
By the Comredix review desk · Updated November 13, 2026 · 52 numbers drawn from 23 publishers and reports
Short answer
16% of US adults used buy now, pay later in 2025, up from 10% in 2021, and 26% of those users paid at least one installment late, according to the Federal Reserve. Federal Reserve Board economists estimate US BNPL providers issued $156.7 billion of credit in 2025, and Adobe counted a record $20 billion of BNPL spending in the 2025 online holiday season. In the UK, the FCA says 10.9 million adults used BNPL in the year to May 2024, and it began regulating the product on 15 July 2026.
Headline numbers
- 16%16% of US adults used buy now, pay later in the 12 months before the Federal Reserve's 2025 survey, up 1 percentage point from the prior year.Federal Reserve Board
- $156.7 billionUS BNPL providers issued an estimated $156.7 billion of credit in 2025, of which pay-in-4 plans accounted for $78.3 billion, or 50%, according to Federal Reserve Board economists.Federal Reserve Board
- $20 billionBNPL drove $20 billion of US online spending in the November to December 2025 holiday season, up 9.8% year over year, according to Adobe.Adobe
- $14.4 billionAffirm's gross merchandise volume grew 34% to $14.4 billion in the quarter ending September 30, 2026.Affirm Holdings
- 26%26% of US BNPL users paid at least one installment late in 2025, essentially unchanged from the prior year, according to the Federal Reserve.Federal Reserve Board
- 11%11% of US BNPL users had a BNPL payment trigger a bank overdraft or non-sufficient funds fee in 2025, rising to 18% of those with less than $100 in emergency savings.Federal Reserve Board
- 10.9 million20% of UK adults, or 10.9 million people, used BNPL in the 12 months to May 2024, up from 17% (8.8 million) in 2022, according to the FCA's Financial Lives survey.Financial Conduct Authority
- 29%29% of US BNPL users in 2025 said the main reason they used it was that it was the only way they could afford the purchase, and 31% said they wanted to spread out payments.Federal Reserve Board
Reading the numbers
BNPL use keeps rising, but slowly. The Federal Reserve's Survey of Household Economics and Decisionmaking shows the share of US adults using BNPL in the past year climbing every year from 10% in 2021 to 16% in 2025. Other surveys report higher shares because they ask different questions: Bankrate found 30% of adults have ever used BNPL and Experian found 43% used or planned to use it for 2025 holiday shopping. Use is far higher among Black (29%) and Hispanic (26%) adults than White (12%) adults, a gap the Fed says persists after controlling for income and age.
The market is bigger than the pay-in-4 product most people picture. Federal Reserve Board staff estimate $156.7 billion of BNPL credit was issued in the US in 2025, but only half of it was classic pay-in-4; the rest was longer installment loans, many with interest. The Richmond Fed puts pay-in-4 volume near $70 billion, about 1.1% of credit card spending, and estimates only about $3 billion is outstanding at any moment because the loans last six weeks. Company results show continued growth: Affirm's quarterly volume rose 34% to $14.4 billion and Klarna had 120 million active consumers.
Late payments are where survey and lender data diverge. The Fed found 26% of BNPL users paid late in 2025, 17% were charged a late fee and 11% had a BNPL payment cause a bank overdraft or NSF fee. Late payment rates fall sharply with income, from 40% of users with family income under $25,000 to 11% of those earning $100,000 or more. Lenders see far lower losses: the CFPB found 1.83% of pay-in-4 loans were charged off in 2023, and Affirm says recent pay-in-4 vintages track to losses below 1% of volume.
Satisfaction is mixed and depends on why people borrow. Most users want to spread out payments, but 29% told the Fed BNPL was the only way they could afford the purchase, and 43% of those who used it for groceries paid a late or overdraft fee. Bankrate found 49% of users hit at least one problem, most often overspending. In the UK, where 20% of adults used BNPL in 2024, the FCA began regulating interest-free BNPL on 15 July 2026, adding affordability checks and complaint rights.
How many people use buy now, pay later in the US
- 1.
16% of US adults used buy now, pay later in the 12 months before the Federal Reserve's 2025 survey, up 1 percentage point from the prior year.
Federal Reserve Board, Report on the Economic Well-Being of U.S. Households in 2025: Executive Summary (May 2026)
Exact wording at the source
Buy Now, Pay Later (BNPL) use edged up 1 percentage point to 16 percent of all adults.
- 2.
29% of Black adults and 26% of Hispanic adults in the US used BNPL in 2025, compared with 12% of White adults and 11% of Asian adults.
Federal Reserve Board, Report on the Economic Well-Being of U.S. Households in 2025: Credit (May 2026)
Exact wording at the source
Race/ethnicity White 12 21 Black 29 32 Hispanic 26 26 Asian 11 16
- 3.
About 20% of responses to five New York Fed Survey of Consumer Expectations waves in 2023 and 2024 reported using BNPL in the past year.
Federal Reserve Bank of New York, Understanding Consumer Demand for Buy Now, Pay Later (Staff Report 1167) (Feb 2026)
Exact wording at the source
We find that about 20% of responses in the five surveys indicate use of BNPL as a payment method in the past year.
- 4.
30% of US adults say they have ever used at least one buy now, pay later service, according to a Bankrate survey fielded in March 2025.
Bankrate, Survey: About half of buy now, pay later users have experienced issues like overspending and missing payments (May 2025)
Exact wording at the source
Almost one-third of Americans have used BNPL: 30 percent of U.S. adults say they have used at least one buy now, pay later service.
- 5.
43% of US consumers surveyed by Experian had used or planned to use BNPL for 2025 holiday shopping, up from 20% in a similar 2023 survey.
Experian, Survey: 43% of Consumers Say Buy Now, Pay Later Has a Role in Holiday Spending (Dec 2025)
Exact wording at the source
According to an Experian survey, close to half of consumers (43%) have used or plan to use BNPL plans to cover expenses this holiday shopping season.
- 6.
21% of US consumers with a credit record financed at least one purchase with BNPL from one of six large lenders in 2022, based on CFPB matched loan data.
Consumer Financial Protection Bureau, The Buy Now, Pay Later Market: Data Spotlight (Dec 2025)
Exact wording at the source
a report on BNPL usage that found that 21 percent of consumers with a credit record made at least one purchase using BNPL
- 7.
Only 10% of Cash App Card and Cash App Pay active users used a BNPL product as of September 2026, according to Afterpay owner Block.
Block, Inc., Block Q3 2026 Shareholder Letter (Form 8-K exhibit) (Nov 2026)
Exact wording at the source
as of September, only 10% of Cash App Card and Cash App Pay actives use a BNPL product, and we see nearly 3x higher gross profit for actives who use BNPL compared with those who don't.
Chart
US adults who used buy now, pay later in the past year
Share of all US adults who used BNPL in the prior 12 months, Survey of Household Economics and Decisionmaking, 2021 to 2025.
Source: Federal Reserve Board, Consumer and Community Context, August 2026 (Accessible Version)
Market size and loan volume
- 8.
US BNPL providers issued an estimated $156.7 billion of credit in 2025, of which pay-in-4 plans accounted for $78.3 billion, or 50%, according to Federal Reserve Board economists.
Federal Reserve Board, FEDS Notes: Buy Now, Pay Later Beyond Pay in 4, A Comprehensive Product Overview (Jun 2026)
Exact wording at the source
We estimate that there were $156.7 billion of BNPL products issued in 2025 (column 4). "Pay in 4" plans accounted for $78.3 billion (column 1) and represented 50 percent of total originations (column 5)
- 9.
More than 60% of US BNPL credit issued in 2025 carried a 0% APR, the Federal Reserve Board estimates.
Federal Reserve Board, FEDS Notes: Buy Now, Pay Later Beyond Pay in 4, A Comprehensive Product Overview (Jun 2026)
Exact wording at the source
Over 60 percent of the total issuance carried 0 percent APR.
- 10.
The Richmond Fed estimates total US pay-in-4 BNPL purchase volume at roughly $70 billion in 2025.
Federal Reserve Bank of Richmond, Buy Now, Pay Later: Recent Developments and Implications (Economic Brief 26-05) (2026)
Exact wording at the source
Using this coverage ratio, I estimate that total BNPL purchase volume in 2025 is roughly $70 billion.
- 11.
That $70 billion equals about 1.1% of total US credit card spending in 2025, by the Richmond Fed's estimate.
Federal Reserve Bank of Richmond, Buy Now, Pay Later: Recent Developments and Implications (Economic Brief 26-05) (2026)
Exact wording at the source
On this basis, BNPL would equal about 1.1 percent of total credit card spending in the same year.
- 12.
Average outstanding US BNPL debt at any point in 2025 was about $3.02 billion, the Richmond Fed estimates, because loans are repaid within weeks.
Federal Reserve Bank of Richmond, Buy Now, Pay Later: Recent Developments and Implications (Economic Brief 26-05) (2026)
Exact wording at the source
Applying this framework to an estimated BNPL transaction value of $70 billion in 2025, the implied average stock of outstanding BNPL debt at any point in time is approximately $3.02 billion.
- 13.
Six large BNPL lenders originated 335.8 million pay-in-4 loans worth $45.2 billion in 2023 (inflation adjusted), with an average loan of $135, the CFPB reports.
Consumer Financial Protection Bureau, The Buy Now, Pay Later Market: Data Spotlight (Dec 2025)
Exact wording at the source
In 2023, the lenders in our sample originated 335.8 million BNPL loans totaling $45.2 billion, with an average loan size of $135 when adjusted for inflation.
- 14.
The same six lenders reported a combined 53.6 million US consumers who took out at least one BNPL loan in 2023, a 12% increase from 2022, counting people who used several lenders more than once.
Consumer Financial Protection Bureau, The Buy Now, Pay Later Market: Data Spotlight (Dec 2025)
Exact wording at the source
The six firms in our sample reported a combined 53.6 million consumers who took out at least one BNPL loan in 2023, a 12 percent increase from 2022 (see Table 2).
- 15.
For comparison, US credit card balances stood at $1.29 trillion at the end of September 2026, according to the New York Fed.
Federal Reserve Bank of New York, Household Debt and Credit Report, Q3 2026 press release (Nov 2026)
Exact wording at the source
Credit card balances rose by $22 billion and stood at $1.29 trillion, and auto loan balances increased by $21 billion to $1.73 trillion.
Chart
Pay-in-4 loan originations at six large US lenders
Billions of dollars, inflation adjusted to 2024 prices; Affirm, Afterpay, Klarna, PayPal, Sezzle and Zip combined.
- 2019$2.7
- 2020$10.8
- 2021$29.5
- 2022$35.8
- 2023$45.2
Source: Consumer Financial Protection Bureau, The Buy Now, Pay Later Market: Data Spotlight
Online and holiday spending with BNPL
- 16.
BNPL drove $20 billion of US online spending in the November to December 2025 holiday season, up 9.8% year over year, according to Adobe.
Adobe, Adobe: 2025 holiday shopping season results (Jan 2026)
Exact wording at the source
Usage of the flexible payment method hit an all-time high this holiday season, contributing $20 billion in online spend, up 9.8% YoY and representing $1.8 billion more than the last season.
- 17.
US shoppers spent $1.03 billion online with BNPL on Cyber Monday 2025, an all-time daily high, Adobe reports.
Adobe, Adobe: Cyber Monday Hits Record $14.25 Billion in Online Spending with Over $1 Billion Driven by Buy Now Pay Later (Dec 2025)
Exact wording at the source
Usage of the flexible payment method hit an all-time high on Cyber Monday, driving $1.03 billion in online spend ( up 4.2% YoY ), as consumers looked for greater flexibility in managing their holiday budgets.
- 18.
Adobe forecasts BNPL will drive $21.3 billion of US online spending in November and December 2026, up 6.6% year over year.
Adobe, Adobe: U.S. Holiday Shopping Season to Hit Record $275.1 Billion Online, Rising 6.7% YoY (Sep 2026)
Exact wording at the source
Buy Now Pay Later (BNPL) is expected to drive $21.3 billion (Nov-Dec), up 6.6% YoY.
- 19.
BNPL accounted for 6% of US ecommerce transaction value in 2025 and is forecast to grow 13% a year through 2030, according to Worldpay.
Worldpay, What 63,000 shoppers just told us about paying (2026)
Exact wording at the source
Buy now, pay later (BNPL) accounted for 6% of US e-commerce value in 2025 and is forecast to grow at 13% annually through 2030.
- 20.
Worldpay estimates global BNPL transaction value at about $300 billion, up from $2.3 billion in 2014.
Worldpay, What 63,000 shoppers just told us about paying (2026)
Exact wording at the source
Globally, BNPL has grown 130-fold since 2014 – from $2.3 billion in transaction value to an estimated $300 billion
The biggest BNPL providers
- 21.
Afterpay (Block) and PayPal together accounted for about 70% of US pay-in-4 issuance in 2025, the Federal Reserve Board estimates.
Federal Reserve Board, FEDS Notes: Buy Now, Pay Later Beyond Pay in 4, A Comprehensive Product Overview (Jun 2026)
Exact wording at the source
Our estimates also suggest that Afterpay/Block and PayPal dominated U.S. "pay in 4" issuance volume, collectively representing 70 percent of this segment (column 1 and Figure 1a).
- 22.
Affirm's gross merchandise volume grew 34% to $14.4 billion in the quarter ending September 30, 2026.
Affirm Holdings, Affirm FQ1'27 Shareholder Letter (Form 8-K exhibit) (Nov 2026)
Exact wording at the source
Gross Merchandise Volume (GMV) grew 34% to $14.4 billion, marking the twelfth consecutive quarter of GMV growth sustained above 30%.
- 23.
Affirm had 28.7 million active consumers as of September 30, 2026, up 19%, and each made an average of 7.3 transactions over the prior 12 months.
Affirm Holdings, Affirm FQ1'27 Shareholder Letter (Form 8-K exhibit) (Nov 2026)
Exact wording at the source
Active consumers increased 19% to 28.7 million as of September 30, 2026, while transactions per active consumer also increased 19% to 7.3 over the trailing twelve month period ending September 30, 2026.
- 24.
Affirm's active merchant count rose 48% to 621,000 as of September 2026.
Affirm Holdings, Affirm FQ1'27 Shareholder Letter (Form 8-K exhibit) (Nov 2026)
Exact wording at the source
Active merchant count increased 48% to 621 thousand
- 25.
Klarna reported 120 million active consumers worldwide in the second quarter of 2026, up 9 million from a year earlier.
Klarna Group, Klarna Second Quarter 2026 Results (Form 6-K exhibit) (Aug 2026)
Exact wording at the source
Active consumers reached 120 million in Q2, up 9 million year over year.
- 26.
Klarna's gross merchandise volume was $36.6 billion in the second quarter of 2026, up 18% year over year.
Klarna Group, Klarna Second Quarter 2026 Results (Form 6-K exhibit) (Aug 2026)
Exact wording at the source
Total GMV was $36.6 billion, up 18% year over year, and 15% on a like-for-like basis
- 27.
Sezzle had 955,000 active paying subscribers at the end of September 2026, up 68.1% year over year.
Sezzle, Sezzle Reports Third Quarter 2026 Results (Form 8-K exhibit) (Nov 2026)
Exact wording at the source
Active Subscribers up 68.1% YoY to 955,000
Chart
Estimated US BNPL credit issued by provider, 2025
Billions of dollars of total credit issuance (pay-in-4 plus other installment loans), US activity only, Federal Reserve Board staff estimates.
- Afterpay (Block)$53.7
- Affirm$41.3
- PayPal$26.5
- Klarna$23.9
- Zip$7.3
- Sezzle$3.9
Source: Federal Reserve Board, FEDS Notes: Buy Now, Pay Later Beyond Pay in 4, A Comprehensive Product Overview
Late payments, fees and defaults
- 28.
26% of US BNPL users paid at least one installment late in 2025, essentially unchanged from the prior year, according to the Federal Reserve.
Federal Reserve Board, Report on the Economic Well-Being of U.S. Households in 2025: Credit (May 2026)
Exact wording at the source
Male 14 23 Female 19 27 Overall 16 26
- 29.
17% of all US BNPL users were charged extra for paying late in 2025, which is 64% of those who paid late.
Federal Reserve Board, Report on the Economic Well-Being of U.S. Households in 2025: Credit (May 2026)
Exact wording at the source
Sixty-four percent of those BNPL users who were late making a payment (17 percent of those who used BNPL) said they were charged extra for being late.
- 30.
11% of US BNPL users had a BNPL payment trigger a bank overdraft or non-sufficient funds fee in 2025, rising to 18% of those with less than $100 in emergency savings.
Federal Reserve Board, Consumer and Community Context, August 2026 (Accessible Version) (Aug 2026)
Exact wording at the source
Emergency savings Incurred overdraft due to BNPL Less than $100 18 $100-$499 13 $500-$999 6 $1,000-$1,999 6 $2,000 or more 4 Overall 11
- 31.
43% of US adults who used BNPL for groceries or food delivery paid a late fee or incurred an overdraft fee in 2025, the highest rate of any purchase type.
Federal Reserve Board, Consumer and Community Context, August 2026 (Accessible Version) (Aug 2026)
Exact wording at the source
Groceries or food delivery 43 Travel expenses 24
- 32.
4.1% of pay-in-4 loans from six large US lenders were assessed a late fee in 2023, down from 5.2% in 2022, the CFPB reports.
Consumer Financial Protection Bureau, The Buy Now, Pay Later Market: Data Spotlight (Dec 2025)
Exact wording at the source
In 2023, 4.1 percent of BNPL loans were assessed a late fee, and late fee revenue collected was 0.18 percent of total origination volume compared to 5.2 percent and 0.24 percent in 2022, respectively (see Table 3).
- 33.
1.83% of those lenders' BNPL loans were charged off in 2023, down from 2.63% in 2022.
Consumer Financial Protection Bureau, The Buy Now, Pay Later Market: Data Spotlight (Dec 2025)
Exact wording at the source
In 2023, 1.83 percent of loans were charged-off or uncollectible compared to a 2.63 percent charge-off rate in 2022 (see Table 4).
- 34.
From 2019 to 2022, BNPL borrowers defaulted on 2% of their BNPL loans but on 10% of the credit cards they held, the CFPB found.
Consumer Financial Protection Bureau, Consumer Use of Buy Now, Pay Later and Other Unsecured Debt (Jan 2025)
Exact wording at the source
On average, between 2019-2022, BNPL borrowers defaulted on 2 percent of their BNPL loans. In comparison, BNPL borrowers defaulted on 10 percent of the credit cards they held during the same time period.
- 35.
About 63% of US BNPL borrowers had several BNPL loans open at the same time at some point in 2022, and 33% did so across more than one lender.
Consumer Financial Protection Bureau, Consumer Use of Buy Now, Pay Later and Other Unsecured Debt (Jan 2025)
Exact wording at the source
In 2022, approximately 63 percent of borrowers originated multiple simultaneous loans at some point during the year, and 33 percent did so across multiple firms.
- 36.
16% of US BNPL users told Bankrate in March 2025 that they had missed a payment.
Bankrate, Survey: About half of buy now, pay later users have experienced issues like overspending and missing payments (May 2025)
Exact wording at the source
Overspending (24 percent), missing payments (16 percent) and regretting a purchase (15 percent) are among the most common ones.
- 37.
Affirm's 30+ day delinquency rate on monthly installment loans, excluding Peloton, was 2.9% in the quarter to September 2026.
Affirm Holdings, Affirm FQ1'27 Shareholder Letter (Form 8-K exhibit) (Nov 2026)
Exact wording at the source
30+ day delinquencies excluding Peloton and Pay in X loans increased 9 basis points year over year and increased 35 basis points quarter over quarter to 2.9%.
- 38.
Klarna's provisions for credit losses were 0.52% of gross merchandise volume in the second quarter of 2026.
Klarna Group, Klarna Second Quarter 2026 Results (Form 6-K exhibit) (Aug 2026)
Exact wording at the source
Provisions for credit losses were $192 million, growing slower than volume, so provisions declined quarter over quarter to 0.52% of GMV
- 39.
US first-time homebuyers who use BNPL frequently have more than an 8% higher chance of missing a payment within a year of buying, the JPMorganChase Institute found.
JPMorganChase Institute, Convenience or liquidity valve? Buy Now, Pay Later, and homeowner balance sheets (2026)
Exact wording at the source
First-time homebuyers who use BNPL frequently have over an 8 percent higher chance of missing a payment within a year of purchase.
Chart
US BNPL users who paid late, by family income
Share of adults who used BNPL in the past year who were late on at least one payment, survey fielded October 2025.
- Under $25,00040%
- $25,000 to $49,99933%
- $50,000 to $99,99925%
- $100,000 or more11%
Source: Federal Reserve Board, Report on the Economic Well-Being of U.S. Households in 2025: Credit
Buy now, pay later in the UK
- 40.
20% of UK adults, or 10.9 million people, used BNPL in the 12 months to May 2024, up from 17% (8.8 million) in 2022, according to the FCA's Financial Lives survey.
Financial Conduct Authority, Protections to help Buy Now Pay Later borrowers navigate their financial lives (2025)
Exact wording at the source
FCA's research (PDF) on unregulated BNPL found 1-in-5 (20%) UK adults (10.9 million) had used it at least once in the 12 months to May 2024, up from 17% (8.8 million) in 2022.
- 41.
The UK BNPL market grew from £0.06 billion in 2017 to more than £13 billion in 2024, the FCA says.
Financial Conduct Authority, New protections confirmed for Buy Now Pay Later borrowers (2026)
Exact wording at the source
The BNPL market has grown significantly in recent years, from £0.06bn in 2017 to over £13bn in 2024.
- 42.
1.9 million UK adults, 17% of BNPL users, used it 10 or more times in the 12 months to May 2024, up from 1.2 million in 2022.
Financial Conduct Authority, Protections to help Buy Now Pay Later borrowers navigate their financial lives (2025)
Exact wording at the source
For example, in the 12 months to May 2024, 1.9 million adults (17% of all users) used BNPL frequently (10 or more times in this period), up from 1.2 million (14% of all users) in 2022.
- 43.
30% of UK adults aged 25 to 34 used BNPL in the year to May 2024, as did 30% of adults with low financial resilience.
Financial Conduct Authority, Protections to help Buy Now Pay Later borrowers navigate their financial lives (2025)
Exact wording at the source
The highest rates of unregulated BNPL use included adults aged 25-34 (30% had used it at least once in the 12 months to May 2024), adults with low resilience (30%), and adults living in the most deprived areas of the UK (29%).
- 44.
2% of UK adults (1.1 million) owed £500 or more on BNPL in May 2024, while 86% of adults had no outstanding BNPL debt.
Financial Conduct Authority, Protections to help Buy Now Pay Later borrowers navigate their financial lives (2025)
Exact wording at the source
In May 2024, 2% of UK adults (1.1 million) had £500 or more outstanding unregulated BNPL debt
- 45.
8% of UK BNPL users in the year to May 2024 said they used it to cover everyday essential expenses.
Financial Conduct Authority, Protections to help Buy Now Pay Later borrowers navigate their financial lives (2025)
Exact wording at the source
8% of those who used it in the last 12 months said they used it to cover ‘everyday essential expenses’.
- 46.
The FCA began regulating interest-free BNPL, known as Deferred Payment Credit, on 15 July 2026.
Financial Conduct Authority, Buy Now Pay Later (consumer guidance) (Aug 2026)
Exact wording at the source
We started regulating Deferred Payment Credit, often known as Buy Now Pay Later, on 15 July 2026.
Why people use BNPL and how satisfied they are
- 47.
29% of US BNPL users in 2025 said the main reason they used it was that it was the only way they could afford the purchase, and 31% said they wanted to spread out payments.
Federal Reserve Board, Report on the Economic Well-Being of U.S. Households in 2025: Credit (May 2026)
Exact wording at the source
Wanted to spread out payments 25 27 31 38 31 Only way I could afford it 40 37 32 15 29
- 48.
53% of US BNPL users incorrectly agreed that making on-time BNPL payments helps their credit score, the Federal Reserve found in its 2025 survey.
Federal Reserve Board, Report on the Economic Well-Being of U.S. Households in 2025: Credit (May 2026)
Exact wording at the source
Similarly, a majority of BNPL users (53 percent) incorrectly agreed with the statement that making on time payments helps their credit score.
- 49.
When asked why they used BNPL, 45.9% of New York Fed survey responses cited the appeal of spreading out payments and 30% cited a lack of funds.
Federal Reserve Bank of New York, Understanding Consumer Demand for Buy Now, Pay Later (Staff Report 1167) (Feb 2026)
Exact wording at the source
Among the most frequently mentioned reasons, we find an emphasis on the appeal of spreading out payments (45.9%), a lack of funds (30%), the advantages associated with a zero percent interest rate (30%), and the ease of access and convenience (24.3%).
- 50.
57% of US BNPL users told Bankrate they chose it to stretch their cash flow, the most common reason, followed by low or no interest at 40%.
Bankrate, Survey: About half of buy now, pay later users have experienced issues like overspending and missing payments (May 2025)
Exact wording at the source
57 percent of users chose this payment method to stretch their cash flow — more than any other reason.
- 51.
49% of US BNPL users said they had experienced at least one problem using a BNPL service, such as overspending or missing a payment.
Bankrate, Survey: About half of buy now, pay later users have experienced issues like overspending and missing payments (May 2025)
Exact wording at the source
About half of users experienced issues related to the service: 49 percent of users say they experienced at least one problem while using a BNPL service.
- 52.
Among Gen Z BNPL users, 26% regretted a purchase and 18% were dissatisfied with at least one purchase or experience, the highest shares of any generation.
Bankrate, Survey: About half of buy now, pay later users have experienced issues like overspending and missing payments (May 2025)
Exact wording at the source
Of those who have used a BNPL, Gen Z were most likely to have experienced problems, with 26 percent saying they regretted a purchase and 18 percent saying they were dissatisfied with at least one purchase or experience.
Questions readers ask
- How many Americans use buy now, pay later?
- The Federal Reserve found 16% of US adults used BNPL in the 12 months before its 2025 survey, up from 10% in 2021. Bankrate found 30% of adults have used a BNPL service at least once.
- How many BNPL users pay late?
- In the Federal Reserve's 2025 survey, 26% of BNPL users made at least one late payment and 17% were charged a late fee. Late payment was far more common among users with family income under $25,000 (40%) than among those earning $100,000 or more (11%).
- How big is the buy now, pay later market?
- Federal Reserve Board economists estimate US BNPL providers issued $156.7 billion of credit in 2025, with pay-in-4 plans accounting for $78.3 billion. The Richmond Fed estimates pay-in-4 purchase volume at about $70 billion, roughly 1.1% of credit card spending.
- How much do people spend with BNPL during the holidays?
- Adobe recorded $20 billion of US online spending through BNPL in November and December 2025, up 9.8% year over year, including $1.03 billion on Cyber Monday. Adobe forecasts $21.3 billion for the 2026 holiday season.
- Does buy now, pay later affect your credit score?
- At the time of the Federal Reserve's 2025 survey, BNPL loans did not affect credit scores at the three major bureaus, yet 53% of users wrongly believed on-time payments helped their score. Affirm began reporting loans to credit bureaus in 2025, so this is changing for some lenders.
- Is buy now, pay later regulated in the UK?
- Yes. The FCA began regulating interest-free BNPL, which it calls Deferred Payment Credit, on 15 July 2026. The FCA says 20% of UK adults, or 10.9 million people, used BNPL in the year to May 2024.
Where these numbers come from
We used primary publishers only: the Federal Reserve Board, the Federal Reserve Banks of Richmond and New York, the CFPB and the UK FCA; company filings with the SEC from Affirm, Klarna, Sezzle and Block; checkout and payments data published by Adobe and Worldpay; surveys run by Bankrate (with YouGov) and Experian; and research from the JPMorganChase Institute using its own account data. Every quote was refetched from the source page. Usage rates differ because surveys ask about different periods (past year, ever, or planned use) and samples. CFPB lender data cover six large firms and count a person once per lender, so user totals overstate unique borrowers. Market size figures from the Federal Reserve Board and Richmond Fed are staff estimates with different scopes: one includes longer installment loans and one covers pay-in-4 only. Company metrics follow each firm's own definitions and are global for Klarna. Some lender data run only to 2023 because no newer comparable official series exists. We store the sentence each number appears in, and a script loads the publisher's page again to make sure that sentence is still there. Our methodology has the details.
Sources
- Adobe. Adobe: 2025 holiday shopping season results (Jan 2026).
- Adobe. Adobe: Cyber Monday Hits Record $14.25 Billion in Online Spending with Over $1 Billion Driven by Buy Now Pay Later (Dec 2025).
- Adobe. Adobe: U.S. Holiday Shopping Season to Hit Record $275.1 Billion Online, Rising 6.7% YoY (Sep 2026).
- Affirm Holdings. Affirm FQ1'27 Shareholder Letter (Form 8-K exhibit) (Nov 2026).
- Bankrate. Survey: About half of buy now, pay later users have experienced issues like overspending and missing payments (May 2025).
- Block, Inc.. Block Q3 2026 Shareholder Letter (Form 8-K exhibit) (Nov 2026).
- Consumer Financial Protection Bureau. The Buy Now, Pay Later Market: Data Spotlight (Dec 2025).
- Consumer Financial Protection Bureau. Consumer Use of Buy Now, Pay Later and Other Unsecured Debt (Jan 2025).
- Experian. Survey: 43% of Consumers Say Buy Now, Pay Later Has a Role in Holiday Spending (Dec 2025).
- Federal Reserve Bank of New York. Understanding Consumer Demand for Buy Now, Pay Later (Staff Report 1167) (Feb 2026).
- Federal Reserve Bank of New York. Household Debt and Credit Report, Q3 2026 press release (Nov 2026).
- Federal Reserve Bank of Richmond. Buy Now, Pay Later: Recent Developments and Implications (Economic Brief 26-05) (2026).
- Federal Reserve Board. Report on the Economic Well-Being of U.S. Households in 2025: Executive Summary (May 2026).
- Federal Reserve Board. Report on the Economic Well-Being of U.S. Households in 2025: Credit (May 2026).
- Federal Reserve Board. FEDS Notes: Buy Now, Pay Later Beyond Pay in 4, A Comprehensive Product Overview (Jun 2026).
- Federal Reserve Board. Consumer and Community Context, August 2026 (Accessible Version) (Aug 2026).
- Financial Conduct Authority. Protections to help Buy Now Pay Later borrowers navigate their financial lives (2025).
- Financial Conduct Authority. New protections confirmed for Buy Now Pay Later borrowers (2026).
- Financial Conduct Authority. Buy Now Pay Later (consumer guidance) (Aug 2026).
- JPMorganChase Institute. Convenience or liquidity valve? Buy Now, Pay Later, and homeowner balance sheets (2026).
- Klarna Group. Klarna Second Quarter 2026 Results (Form 6-K exhibit) (Aug 2026).
- Sezzle. Sezzle Reports Third Quarter 2026 Results (Form 8-K exhibit) (Nov 2026).
- Worldpay. What 63,000 shoppers just told us about paying (2026).
Citing this page
Link to this page or to a single numbered figure. If you reuse a number, name the organization that released it in the first place.
Comredix. (2026, November 13). Buy Now Pay Later Statistics 2026. https://comredix.com/buy-now-pay-later-statistics
Found a number that changed or a source that moved? Email editorial@comredix.com. We plan to check this page again by January 12, 2027.