Tag: cfpb
CFPB signals that regulation is coming for BNPL
In a shot across the bow to the buy now, pay later (BNPL) industry, the U.S. Consumer Financial Protection Bureau (CFPB) today issued a report suggesting that companies like Klarna and Afterpay, which allow customers to pay for products and services in installments, must be subjected to stricter oversight. The CFPB — in a step […]
CFPB signals that regulation is coming for BNPL by Kyle Wiggers originally published on TechCrunch
Buy-Now, Pay-Later Faces Tougher Rules as CFPB Chief Weighs In
“We want to make sure to take steps to prevent harm before it spreads.” The proposals would mark the most extensive regulations yet to hit the sector, which has exploded in popularity in recent years by offering consumers ways to split purchases into smaller installments, often without charging interest. Instead, providers make most of their money by charging merchants a fee each time a consumer uses the product at checkout.
Read more of this story at Slashdot.