Installment-pay services such as Klarna and Afterpay offer interest-free short-term loans to cover purchases, but the fines for late payments can be steep, and critics fear their ease of use could lure shoppers into dangerous debt.
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Quick question: If you can't afford to pay for groceries now, what makes you think you can pay your BNPL bills AND buy groceries later?
White people call that a credit card.
ReplyDeleteNearly all of my spending is through a credit card. I pay it off at the end of the month in full and never have an interest payment. Additionally, it is one of those cash back cards that pays me to use it. So, while it may be a nice sound bite, credit card and pay day loans are not even close to equivalent.
DeleteAnon#2 - I know a couple families that use credit cards like you do. I've got one, I might try the same thing.
DeleteI use 3 credit cards. One pays 3% cash back on fuel purchases. One pays 5% cash back on Amazon purchases. One pays 1.5% cash back on everything else. They are all paid in full every month. The banks have lost money on me for years.
DeleteI have Sam's Club Advantage card. It has $110 annual fee that includes your Sam's Club fee. A number of prescriptions are free at their pharmacy. I have a pretty good health care plan through work, and it is sometimes cheaper at Sam's via their card. I also get 5% back on some purchases (gas comes to mind). Their gas is also the cheapest in town by a 20 cents a gallon or more.
DeleteJust be sure to pay it off at the end of the month. I don't know what their interest rate is, and I don't want to find out.
Most places change 3 percent to use your credit card so if you're getting 1 percent back it still costs you 2 percent. And the government can trace anything you're doing. Cash is still your best bet
DeleteBackwoods Okie
I do the same as several above. I rarely carry cash these days. I have one credit card. I pay it off every month and get the kick backs some have listed. I've done this for years and it works well for me. Never do I make a partial payment. I pay it off in full. Gonna play, gotta pay. I've done this for so long I pretty much know what my payoff at zero intrest is every month.
DeleteBackwoods Oakie, the 3% charge is only if you don't pay it off at the end of the month. If you pay it off, there's no charge. The money comes from the merchant, hence the reason merchants might give a cash discount. I save cash for what I don't want traced: by the feds or the SO.
DeleteThis a blip of the cash back cards. I know I am using mine more as cash is just our but the cash back I get 2% back on all purchases. Bought the only way I can get interest on my money, the money grubbing banks.
ReplyDeleteWhen the kids are hungry you do what you have to do. One company I worked for was there one day and gone the next. My last paycheck bounced, but the person that signed it (knowing it would bounce) made it good when he found out the DA's office takes that very seriously. We were living paycheck to paycheck before and on credit cards (and what I could sell) afterwards. I was out of work for about 4 months and it took a long time to get them payed off and back to square one after I found another job.
ReplyDeleteThe currency of kings is gold.
ReplyDeleteThe currency of gentlemen is silver.
The currency of peasants is barter.
The currency of slaves… is debt.
Hey, that's rather sage.
DeleteWhere'd you steal it?
My grandpa used to say it all the time… Looks like it’s been restated in a slightly different form by others. Here’s an example:
Delete“Gold is the money of kings, silver is the money of gentlemen, barter is the money of peasants – but debt is the money of slaves.” ― Norm Franz, Money & Wealth in the New Millennium: A Prophetic Guide to the New World Economic Order
Maybe it was a rather commonly held idea in times past? Grandpa was an old Missouri mule farmer… Smart guy, but I doubt if he thought it up himself.
It's been estimated that nearly 3 million Americans are behind on their power bills and face disconnection...auto repos have been astronomical...not to mention defaults on homes.
ReplyDeleteAnd these commies are just getting started...everything will go sky high, if it's even available,
after the mid terms...friends- the dance is about to start...finish your preps.
High interest rate, high rate of default. Wife's father did that and unknown to us used her as a reference. He skipped on multiple payday loans and we still get collection agency calls. I've heard their default rate is over 30%.
ReplyDeleteI saw a BNPL solicitation in the service department of an auto retailer. Could have knocked me over with a feather; I've swung wrench (long, long, long ago), sold cars, bought all the stuff: tires, alternators, brakes, mufflers, yada......and NEVER saw a BNPL for service.
ReplyDeleteI must be out of it.
They are advertising that shit on TV here in the peoples republic of Connecticut.
DeleteI think it's a national chain for transmissions.
Maybe someone else can comment, but I heard these newer 6,7,8 speed auto transmissions are wildly expensive to repair or replace.
Dogbone, I had the transmission replaced in my 2001, that's right 2001, F-150 a couple years ago for $4000 which was pretty wild to me seeing as the last one I had done in the late '90s only ran me 750 bucks.
DeleteLots of folks don't think that far ahead. All they know is they need food (or whatever) right now.
ReplyDeleteWhich is often (not always) why they are poor.
Many never learn.
Buy now pay later for food is an act of desperation. When they get desperate enough laws will mean nothing. They will come for your food. You had best be ready.
ReplyDeleteI am ready. I already handed in my guns after Joe promised to protect me and my loved ones. 😇😇😇😇😊
DeleteAll waiting for a grocery loan forgiveness program.
ReplyDeleteThis means hookers on every corner!!!!. Bringing back the $5 special.
ReplyDeleteI've seen a lot of people coming and going in my rental house here on the farm . They have all lived the same way without exception . They are looking at their phone to see if they have money for a cup of coffee on Friday morning and on Saturday it's Bob Evans for breakfast and Mickey D's for lunch . Pizza for supper and party till every buck is gone . When you are frugal and save a buck or two they think you are Scrooge because you won't give them half of yours when they are broke . I have had to boot out quite a few because they would not get any firewood to heat the place . It is too hard . I let them have it for free but I sure as hell ain't gonna cut and carry it for them . SHTF will be amusing at first . Until you have to kill a couple dozen of them .
ReplyDeleteHomesteads, a portion of personal jewelry, vehicles, etc, are all protected in bankruptcy. While I think people should pay their bills, at this point, all of the bureaucratic, financial, educational, etc, systems, agencies, and institutions are beyond repair. The FED and Washington are the source of inflation and they WILL-NOT-STOP-PRINTING or debt spending.
ReplyDeletePeople that can afford to do so are fleeing the USA. Those that can't are joining the great resignation because working literally doesn't pay anymore. There is a propaganda campaign against people demanding the restoration of their purchasing power and it's just as disgusting as the propaganda for Ukraine. Similar is going on in Europe right now against people demanding better pay and conditions. Now they have $10,000+ heating bills and it's shutting down businesses.
Let the system rot and prepare to build a better system after the fact. It's all guna pop.
- Arc
Like Anonymous I put everything on a credit card including most of my utilities. I typically have a $1600 to $2000 bill that I pay off every month but shit happens. This past month the washing machine crapped out with a non-repairable issue. Add to that my 12 year old laptop died and the wife had a medical procedure that was almost a grand, two baby showers and a wedding that all required $$. We burned through $4500 on the card this past month. I have to dip into savings to pay it off this month. This is the first time in about 8 years I am taking money out of savings instead of putting money in.
ReplyDeleteI like to ask the cashiers at the grocery store if they have a loan department.
ReplyDeleteJust a finiancial tidbit. If any of you have ever taken out an Equity Loan heed the following. I had one, used it for improving my equity and then paid it off. It's in essence a lien. I went several years never using it again. I attempt to sell my home and soon found out I had to have documentation the Equity Loan was satisfied. It can take up to six months for the bank to generate this "Letter of Satisfaction." You absolutly will not be able to sell your home until you have it in hand. So, if you have one and decide you do not need it anymore. Go to the bank, cancel it and tell them to start the process of generating the letter satisfaction.
ReplyDeleteRun up your debt then vote democrat to pay off your recklessnesses. No worries
ReplyDeleteThe people doing BNPL food purchases probably have no intention of paying later. I've known people whose policy was to never repay unsecured loans.
ReplyDeleteWe have a cash back credit card I use for gas, groceries, general purchases and pay it off each month. The cash back can be applied toward the month bill or they accrue. Over a few months this adds up to decent money. Our dishwasher (not my wife) crapped out. I bought a replacement then used the accrued credit to pay for it. I know the new dishwasher was not "free" but I used cash earned for normal monthly purchases to pay for it
ReplyDeleteDeacon in La