Driven by an increase in online and mobile app shopping during the COVID-19 pandemic, the Buy Now, Pay Later (BNPL) market has experienced exponential growth as an innovative consumer offering, particularly for the unsecured credit market. The explosion of the BNPL market, however, is attracting scrutiny from financial services regulators concerned about the lack of specific rules and the potential risks to consumers. Federal regulators have taken a largely hands-off approach to the BNPL sector in the past, but recent noteworthy shifts have signaled regulatory headwinds are on the horizon. Read our full update here.
