How BNPL firms make money

Buy Now, Pay Later (BNPL) services like Affirm (AFRM) and Klarna (KLAR) are becoming a go-to option at checkout, allowing shoppers to split purchases into smaller, often interest-free payments. Federal Reserve data shows younger users are more likely to use BNPL—and more likely to miss a payment. From an investment standpoint, analysts remain divided between Affirm and Klarna, while experts warn the convenience of BNPL can come with budgeting risks.

Episode transcripts seekingalpha.com/wsb.

Show links: 
Affirm signals 30% GMV growth in Q3 2026 while advancing card and international expansion
Affirm: Groceries On Credit? The Shift In BNPL And The Credit Market
Affirm: Merchant Concentration And U.K. Challenges Point To 30% Downside
Klarna Group plc (KLAR) Q3 2025 Earnings Call Transcript
Klarna Proves Itself A BNPL/Neobank Disruptor - Initiate Buy With Caveats

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