Afterpay Survey Reveals Increasing Financial Stress Among Americans
Afterpay, a leader in Buy Now, Pay Later (BNPL), has released research conducted with Morning Consult showing that Americans are more financially stressed today than a year ago, with over half (51%) feeling the squeeze. The survey found that 4 in 5 BNPL users see it as an effective way to alleviate financial stress, particularly among Millennials and Gen Zs preparing for significant life changes this summer.
The survey highlights that U.S. consumers believe BNPL reduces financial stress throughout the payment journey, and the data supports this belief. Among BNPL users, 82% reported reduced stress at checkout, 77% after two payments, and 78% by the end of the payment process. For Afterpay users, the numbers are even higher, with 86% feeling less stress purchase, 80% after two payments, and 76% by journey’s end.
As summer approaches, many Americans view BNPL as a solution to financial insecurity for major life events. Key areas of BNPL impact include weddings (61%), large household purchases (61%), back-to-school shopping (53%), and preparing to buy a home (51%).
The survey also noted the impact of inflation on financial stress. The fintech’s Pay-in-4 BNPL allows customers to manage their budgets by spreading purchases over four installments or paying off the full amount at any time, with no extra costs if payments are made on time. In Q1 2024, 98% of the fintech Pay-in-4 purchases incurred no late fees, and 95% of installments were paid on time, consistent with previous periods.
Afterpay continues to prioritize consumer protections, starting customers with low limits, pausing accounts after missed payments, and capping late fees. Afterpay emerged as the most commonly considered and trusted BNPL brand in the survey.
About Afterpay
Afterpay transforms payments by allowing immediate purchases with deferred payments, promoting responsible spending. It’s used by millions globally and is available in Australia, Canada, New Zealand, the U.S., and the U.K. (as Clearpay). Afterpay is a subsidiary of Block, Inc.
