"Worse Than Credit Cards?” - Buy Now Pay Later Exposed
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- Опубликовано: 4 дек 2023
- Patrick Bet-David, Adam Sosnick, Tom Ellsworth, and Vincent Oshana discuss the buy now, pay later trend and how it's harming the economy.
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Patrick Bet-David is the founder and CEO of Valuetainment Media. He is the
author of the #1 Wall Street Journal Bestseller “Your Next Five Moves” (Simon & Schuster) and a father of 2 boys and 2 girls. He currently resides in Ft. Lauderdale, Florida. 
Развлечения
In these uncertain times, it's more important than ever to have a solid understanding of how to manage your finances, invest wisely and navigate economic downturns. But my primary concern is how to grow my reserve of $240k which has been sitting duck since forever with zero to no gains, sure I'm all in on the long term game, but with my savings are lying waste to inflation and my portfolio losing gains everyday, I need a remedy.
If you need advice, consider speaking with a financial advisor. Don't get me wrong, you can do it on your own, but financial advisors have a lot more knowledge and expertise in this area.
you are completely right, Advisors have information and paths that are not disclosed to the public.. I profited $560k in 2022 under the tutelage of my Fiduciary-counselor. Am I selling? Absolutely not.. I am going to sit back and observe how this all plays out.
That's impressive! I could really use the expertise of this manager for my dwindling portfolio. Who’s the professional guiding you?
The decision on when to pick an advisor is a very personal one. I take guidance from ‘ Natalie Noel burns ‘ to meet my growth goals and avoid mistakes, she's well-qualified and her page can be easily found on the net.
Great share! inputted ladys full name on my browser, at once spotted her site top, she looks great at first glance. will wait to hear back from her or her team
I used to have a ton of debt. Business debt, car payment, govt loan, etc. Now I’m down to only a mortgage and feel a lot more secure. Debt really is stress.
Digging myself out of divorce and a lot of other stuff. Head down on debt and saving, making side money uber...I was taught nothing as a kid but I'm going to get out and be like you....stress free
Debt is literally the entire economy. You shouldn't be stressed out by debt, you should be better at managing it and using it to achieve your goals.
😂 it's a Four letter word
For the average person, debt is stress. For the rich, debt is capital.
OOORAHHHHH!!!
I understand the plight. See one, Do one, Teach One. We see how it's done, we do it as it's suppose to be done, Now you teach others to Do it- correctly.
Remember layaway where the store kept your purchase safe in storage until your weekly/monthly payments were made?
If you decided you didn’t want it could you get your money back
many areas layaway is no longer available
Omg yes I remember this . I remember my family using that plan to get Christmas gifts 🥲
WalMart still has it
Paid for Christmas and back to school that way in the day. Makes it hard for families today.
The lack of purpose, & the lack of moral-center, creates a depression that is sublimated by purchasing possessions. 😒
Too many American's suffer from 'unbridled materialism'. They link their happiness to the temporary gratification of buying STUFF
My drum kit says I’m depressed
Yup, that's why I collect new GI Joe and Masters of the Universe toys! 😅
100% nailed the motivational drive. Retail therapy is real!
@@michaeldehoyos6185 😂👍
The United States is grappling with the challenging combination of inflation and recession. An alarming aspect of this recession is the surge in consumer credit card debt. In April alone, credit card debt escalated by 20%, and rates have doubled within a year. Inflation has reached such heights that consumers are resorting to debt for essential life necessities. The signs of a collapse are evident, and the prospect of more layoffs looms. This is why I am considering entering the market now, anticipating a recovery in the economy. I am in the process of constructing a $600k portfolio. Do you have any recommendations for stocks in this scenario?
Focus on two primary goals. Firstly, prioritize your safety by understanding the opportune moments to sell stocks, aiming to minimize losses and maximize gains. Secondly, prepare to capitalize on market shifts. I recommend seeking advice from a Certified Financial Planner (CFP) or another professional to guide you in achieving these objectives.
May I inquire about the investment firm you're currently associated with? I had previously invested through Goldman, but their offerings did not align with my preferences.
Stacie appears to be really knowledgeable. Her resume, educational history, and qualifications were all quite good when I found her internet page. She will act in my best interests because she is a fiduciary. I thus scheduled a session with her.
I work for a BNPL company, and it seems people forget that they still have to pay for the goods. I've seen customer go on a crazy shopping spree
So wait ain't this the same as giving mortgages at zero down payment no coleteral. When these loans go deliquent it's gonna be a shit show again.
@@Sataka23clips yep. same game, diff "asset"
Pat has the nerve to criticize these pay later Co's when he ran a sleazy MLM life insurance scheme where 95% of the licensed sales agents make less than a minimum wage worker making $7.25hr.
66% of them make less than $250/yr !
That barely covers the enrollment fee!!
Multi level Marketing crap is far worse than any pay later firm!
@@sevensages5279EXACTLY 💯💯💯
@@sevensages5279 who cares
The last 10-12 years people have become completely addicted to debt. I know people that feel if they can get approved for something that means they can afford it. I've had that exact argument with friends and co-worker. People believe that if a bank checks your credit and approves you it means you can afford that item 😖😖🤬🤬 The financial illiteracy of most people is insane.
YES... it's quite the opposite. They are definitely hedging their bets against you
Lack of financial literacy is on purpose. We should be teaching personal finances in school. Basics like reading contracts and balancing a checkbook. Tips on how to save money.
@@umiluvthe same people that fail at this as a grown up would be the same people that don’t pay attention and don’t learn. This shit isn’t hard. It’s common sense
@@joshhardy5646Common sense is not all that common unfortunately.
My best friend since childhood, more than forty years now is just like that.
He lost his house to the bank in the early 2000s, I bought it from the bank in a short sale, renting it back to him for the mortgage payment only, and he eventually bought it back from me for the mortgage balance, we're like brothers so I wasn't trying to make money off of him. But at this point real estate prices started to skyrocket toward those crazy pre-crash prices of 2006. So when he buys it back from me, he pulls out all the equity and goes shopping. Stupid things like a $5000 laptop, new cars, and some toys. He refi'd every time he got an offer and had equity to pull.
He lost the house again three years later and blames the bank because they gave him the loans he couldn't afford.
Today, he rents for almost twice the price of the mortgage he had when I originally sold his home back to him, and he's struggling to make that rent payment every month. The worst part for him, is if he had never made such horrible financial moves, he'd probably own his home free and clear today and living comfortably. Instead, he and his wife drive for ride services and food delivery to make ends meet as a renter for the rest of his life. Honestly, I don't know what he's going to do in 20 years when he's still a renter at 70 years old.
He even had a small inheritance from his wife's father who passed away and they squandered that, almost like it never existed, he can't tell me where it went.
I use affirm before my CCs! Interest is lower and it’s not on my credit report! I also don’t buy unnecessary items.
The U.S. economy relies on ongoing credit and debt generation for sustenance. The Federal Reserve is expected to increase the money supply, leading to further debt accumulation for the average American. Meanwhile, foreign nations continue to desire the U.S. dollar, despite their own economies facing significant challenges, some even worse than that of the U.S. This situation raises concerns about who will ultimately bear the consequences of these economic dynamics.
They do say gold will crash in a liquidity crunch However, many of those holding precious metals are preparing for such an event. So they are unlikely to be forced sellers. The paper market would tank and hopefully collapse.
I wholeheartedly concur, which is why I appreciate giving an investment coach the power of decision-making. Given their specialized expertise and education, as well as the fact that each and every one of their skills is centered on harnessing risk for its asymmetrical potential and controlling it as a buffer against certain unfavorable developments, it is practically impossible for them to underperform. I have made over 1.5 million dollars working with an investment coach for more than two years.
we’re only just an information away from amassing wealth, I know a lot of folks that made fortunes from the Dotcom crash as well as the 08’ crash and I’ve been looking into similar opportunities in this present market, could this consultant that guides you help?
My Financial Consultant is Vivian Carol Gioia. I found her on a Kiyosaki interview where she was featured and reached out to her afterwards. She has since provided entry and exit points on the securities I focus on. You can run a quick online search with her name if you care for supervision. I basically follow her market moves and haven’t regretted doing so
Vivian has the appearance of being a great authority in her profession. I looked her up online and found her website, which I reviewed and went through to learn more about her credentials, academic background, and employment. She has a fiduciary duty to protect my best interests. I set up a call with her so I could use her services.
I only swipe my credit cards knowing I’m going to pay it off within the same billing cycle. Main reason is to take advantage of the cash back rewards points. The available credit we see isn’t our money. Gotta play the system 😅
The single mom that can’t pay for her rent on time and is paying late fees and high interest is the one paying for your cash back rewards! Enjoy
I like the BNPL option. Its helped me a lot of purchases such as flights and such. I always pay it off and manage it correctly. But I can see how it can get out of hand
Same
Why don't you just use a credit card?
Or is it because you can pay it of interest-free over 4 months instead of 1 month?
@@Alvin_Vivian just is easy to use, trying to pay off my credit cards and honestly the model works for me. don’t get discouraged by the numbers they use. its a great model for people if responsible
@Alvin_Vivian Cause some just allow you to break the amount into 4 to 6 equal payments with 0% interest, payments every other week. Allows you to be strategic while on vacation.
@@geraldsmith6144 also too breaks it down where i can do 12 month payments and only pay 20$ interest so idc
The most important thing that should be on everyone mind currently should be to invest in different sources of income that doesn't depend on the government. Especially with the current economic crisis around the word. This is still a good time to invest in various stocks, Gold, silver and digital currencies
The key to big returns is not big moving stocks. It's managing risk in relationship to reward. Having the correct size on and turning your edge as many times as necessary to reach your goal. That holds true from long term investing to day trading.
Even with the right technique and assets some investors would still make more than others, as an investor, you should’ve known that by now, nothing beats experience and that’s final, personally I had to reach out to a market analyst for guidance which is how I was able to grow my account close to a million, withdraw my profit right before the correction and now I’m buying again
Please can you leave the info of your investment advisor here? I’m in dire need for one
It would be very innovative suggestion to look out for Financial Advisors like ''Julie Anne Hoover' who can help shape up your portfolio. Trying times are ahead, and good personal financial management will be very important to weather the storm.
Quite frankly this recommendation is coming at the right time because i am literally grasping for straws atm! I looked her--up online and scheduled a phone call with her. Thanks again
Yep, I’ve been thinking about this lately. Layaway was tossed out so that we would have to put ourselves in debt for more things.
Layaway makes no sense. The stores don’t want to have to store this stuff in the back.
Makes way more sense to get it now and pay over time.
Just don't buy things you cannot afford.
@@ohsweetmystery Exactly. Going into debt never appealed to me.
@@PassportBrosBusinessClass With layaway the stores can still make money off you through interest. If you look at it as a storage fee, then it makes sense just fine. If for some reason you can't afford to make payments anymore, the store keeps it. If you're on credit, then you keep the item and ruin your credit. Neither is ideal, but layaway doesn't affect other aspects of your life.
@@TheNationOfTexasgoing into debt for appreciating assets(a practical education, solid investments, etc) is useful.
"Never spend more than you own" should be the most basic advice given to kids in school, but i guess certsin people don't want that to be the case.
I’ve been working for the last year, and have another year to go, to pay down my CC and other loans. My CC usage went from 70% to 23%. It’s been hard with a lot of sacrifice, but I’m so happy to finally be paying cash or not purchasing. It’s been a lifelong struggle, but finally there.
The borrower will be servant to the lender.
If you do not live within your means, you will regret it eventually.
💯% the best way is to live below your means and save in gold silver bitcoin and index funds..
I’m not doing great financially but have zero credit card debt. I couldn’t imagine having all of that in this economy I already struggle to sleep lol
I use the buy now pay later option all the time and always pay it off before the time is due.
I did that for two years they kept up in my credit limit up and it up and it up and it and now I can’t pay it. It didn’t report on anything I did, but it’s gonna report now that I can’t pay it.
I always wondered about the science behind this. Thanks for clearing it up!
Charge $1000 dollars on a credit card , then only make the minimum payment listed, never use it again , and in 10 years , you’ll owe the credit card company $10,000
Depends on the interest rate and how much the minimum payment is.
Its a super scamm
miunimum payments only pay interest @@SWOTHDRA
And if you PAY with CASH just ONE TIME you’ll be rich 🤑
@@kathys1285 Grandpa always said ? If you can’t pay for it in cash , you can’t afford it yet, and never impulse buy , always save a little longer , and buy one or two models nicer , your never regret it
This is what i fear will happen with all these "connected" EVs. You miss a payment and they remotely disable your car. You dont violate any repo laws since the person still has the car sitting in the garage.
So pay your bills or give it back.
Delayed gratification has left the chat
Many wealthy individuals maintain their wealth by adopting frugal spending habits similar to those of the less affluent. They also prioritize continuous investment, whereas some poorer individuals tend to spend extravagantly without focusing on long-term investments, often attempting to impress those who are already wealthy.
Saving and investing wisely while prioritizing necessities and a few small luxuries in relation to one's total assets is a great approach. It helps ensure financial stability and I my for the enjoyment of life's little pleasures without compromising long-term financial goals. It's all about finding a balance that works for you
Wealthy people also leverage debt to make even more money.
Bs not all the time some spend a ton but make up the spending because they earn so much per day along with their investments
Debt is definitely chokes the life out of you financially... It's like you can never get ahead
But sooo easy to get in.
Well, they keep devaluing the currency by spending like people who use bnpl accounts.....so how will you get ahead if everything just keeps getting more pricy but your wage stays the same?
@@wellyforpm Let's get some deflation going then! 🤑
It's only horrible for the consumer if you don't pay on time 😂
Exactly, i don’t see how its terrible for the consumer. A Cc user is already making payments with no end in sight. BNPL will go away in 6 weeks. Just use it as needed and not abuse it.
@@jakejakobzi dont understand why it’s so bad… i feel like they exaggerate the downside
Just don't buy things you cannot afford.
I don't feel sorry for people I see complaining about the price of food, but still going out to eat, buying candy and snacks, buying makeup, getting their nails done, buying new smartphones, etc, etc, etc.
The cigarettes, alcohol, gambling and tattoos but don’t have a dollar in their pocket and always complaining smh
@SubZero-pi4jr Those 4 things you listed are a little bit different as they can be addictions. But yes, those are wasting money, but for some people they really struggle. I have a few friends that are gambling addicts and all of them relapse. All of them.
Your describing women lol.
The problem is our whole economy relies on consumer spending. If Americans only bought necessities and what they could afford we'd have a massive crash.
Candy?😂😂
Seriously AMZ650K is something nobody expected and yet its just breaking all existent rules to make the superior move
SCAM! SCAM! SCAM!
let's see him expose the insurance industry next :D
can someone explain this to me
I love my affirm, but I've never missed a payment.
It allows me to budget bigger luxury purchases (like my sons hockey goalie pads) and avoid built in interest
And there is NO interest
I love Affirm too. Great for those semi-large purchases. I even went to furniture store and they offered it!! 😃
I couldn’t agree more. They’ve actually better than most my credit cards which have high interest.
And those who say you don’t build credit with it, that’s true. But again they beat my conventional credit cards in interest.
I know for me, BNPL and/or 0% interest over x months was default payment option, to the point it became my only payment option because I simply didn't have the money to pay for things, I could only pay using debt. What made it worst was, I had an initial budget for something, then not to appear broke, I opted for the more expensive option for many things.
2008 all over again… Absolutely devastating for families and people who can’t figure out why they keep on purchasing….
If you are that clueless, there is probably no hope for you anyway.
@@ohsweetmystery I agree!!!!
It’s even worse than last time EVERYTHING WENT UP!!!!
@@kathys1285Yes. This will be much worse than last time. It hasn't even hit yet and it's already worse.
I think people themselves do this america is the land of debt look at 33 trillion some say is 65 trillion like come on
Thank you for always entertaining us
You always bring the truth.....!! Love it!
Credit card debt is the worst thing. I was luck to refi my home at the pandemic to and incredible low rate and get some cash to pay my CC bills. I try my best to avoid falling into that trap ever again.
Dude just ditch the cards. If you already have a house what do you need credit for? Especially if you’ve gotten into bad credit card debt multiple times
Who said I did it multiple times? lol It just happened once and I learned the hard lesson. CC are great for a variety of perks but you must pay on time to avoid the interest trap. @@aperson5566
Get one card with cash back. Then turn on auto pay. You can use a debit card but you'd be missing out on cc benefits in this economy.
@@swesleyc7 Nah, I am good now. I have been getting a lot of benefits from CC, like miles, cash back, etc. My original issue was because of the pandemic I lost work and then the bills accrued. Thank God, things are better but the lesson was learned. If happens again, best thing is to close all the CC accounts and avoid the temptation of falling into that trap.
Chase bank is actually started doing this as well. Last month I spent around 400 bucks on something. I went on the app to check my balance, and a message popped up saying if i wanted to make payments on the $400 I just spent. Also this is my debit card not credit .
Anybody remember that postal commercial from back in the day about the package being thrown at the TV yeah I'm getting those kind of vibes
Thank you so much for this video, love ur content. I learn so much
You do know that Patrick ran a sleazy MLM life insurance scheme where 95% of the licensed sales agents make less than a minimum wage worker making $7.25hr!
66% make less than $250/ per year !
That barely covers the enrollment fee to join!
🧐🧐🧐🧐🧐
All these debt instruments are scams for the consumer. Ideally you should only buy things that you have excess cash to spend on
Inflation will likely to eat that up if ppl going for saving or cash
So, ban credit cards.....ban credit score
Our economy would collapse of if it didnt.
Bingo. We should only have debit cards and that's it. People would adjust by having back savings instead of paying in the future. The only difference to consumers is the risk of paying astronomical credit card penalty fees. Abolish credit cards. People don't need them.
I used Paypal pay in 4 twice in the last year and used it responsibly no interest. However, I can see how this could go bad very fast.
LOL @ Vinny's face when PBD asked him "Did you get that!?"
It’s bad enough going into credit card debt purchasing items but now they go into massive debt for McDonald’s, Subway etc where they have nothing to show for their debt.
I'll just say this. To any servicemen out there. If you're not utilizing the civil service relief act... You're doing yourself a disservice. If you're in the army reserves and you're getting mobilized or going on ADOS orders. You better utilize the civil service relief act. That way your credit cards will go down to at least 6% opposed to the 29% of these other cards. Some, like capital one, will lower your percentage to 4% APR. and once you get it down it tends to stay down. I've had my credit card at 4% since 2020. I'm surprised more servicemen don't use it.
I’m sorry what is this. Can you please elaborate?
@@originalsunlight8928 it was a bill passed my George w Bush that basically lowers interest rates for active servicemen. Google "servicemen civil relief act." On your credit card website you'll probably have to search for it or call and speak with an operator. They'll make you fill out a form and you'll have to send your orders or duty contract. Once you've been approved they may even reimburse some of your previous payments. You can do with loans too that are over 6%.
Better yet, don't have credit card debt in the first place
@@Rew123 bro I didn’t ask you.
@@Rew123
This is America, fool. Who are you to say ANYTHING about someone ELSE'S God given right to purchase something? Unless you're gonna help paying CC bills, STFU.
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Great video and info.
Great topic!!!
BNPL’s danger is that you feel richer because you only paid 25% today, kicking the can … so you sense you have more space to do more, maybe another BNPL. You don’t feel maxed out and the pain of the dollar spent.
Same goes for credit cards and thats why in my country you american tourist cant use them in most of the stores
This video reminded me to pay off my credit card that I used last week. Thanks!
Those PBD pins are FANTASTIC!!!!
I’ve used affirm for a few different big ticket items and they’ve all been off off. It’s all about being accountable and responsible
PBD is the next evolution of podcasting.
Watch out JRE, he’s coming for that top spot.
How is it that people NEED to be told that buy now pay later is worse than credit cards? This is why we have the most assinine instructions included with things that you buy like don't let the hair dryer fall into the bath tub or don't let children play with plastic bags. And, btw, if you want to fight back and have some control over what is being done to us paying cash is the way to do it. It mucks up and slows down the system and their ability to transfer us to cbdc.
It’s not happening my friend, industry barely takes cash anymore
@@willjean1614 I have paid cash for almost everything except what I buy online for the last 4 years. Catherine Austin Fitts, formerly a fairly high govt. official in the 90's and very astute financially came up with this idea. It happens to be one of the few ways that we can fight back. Of course if you are head over heels in debt then you are trapped.
The last 3-4 minutes sounded a bit like the Big Short
Another great episode!
There's a niche for it, clearly BNPL is a growing business. Boom during holidays, then hope to pay it off if they get a tax refund in early 2024.Unfortunately in our country the majority aren't financially conscious..thanks for sharing.
My car insurance and home owners insurance have gone up this year and Im not able to keep up with my credit cards anymore like I used to because of grocery prices and utilities also goong up. I always paid off all my cards each month but now Im just not able to.
Hope you do well in the future. You don't have to spend on the holidays like gifts or decorations, maybe sell some stuff you dont need like dvds or whatever on ebay or a yard sale.
Research should also show that its a previous retail sales promotion. Same as 90 days cash option when making a purchase.
Great stuff 🎉
I personally love the triple and quad pay options. I make plenty of money and technically don’t need to use it but hey, why spend a grand up front when I can make 3 payments interest free? But I also see the danger of it for people who don’t make a lot of money or spend irresponsibly because you can easily get trapped which is my takeaway from the video.
The danger risk far outweighs that methodology. The interest potentially made during your payment schedule does not outweigh what'll happen if you miss your payments.
@@swesleyc7there are 0% interest options if you choose to pay it down sooner , I’ve been using these services for a few years now , I’ve never paid interest & im able to grow my credit at the same time
I have 7 credit cards, with a total balance of less than 1k. They hate it. Discover has raised my limit to $36,000, and they are basically begging me to buy stuff. The best decision I have ever made was to just pay cash for everything.
If that's not an option for you, then you need to work harder and smarter to build yourself. I literally came from nothing and had zero credit for most of my adult life. If I can do it, anyone can. As South Park said, I rack disciprine.
Discover could care less about you.
Tell us how you did it then and no Im not gonna become a truck driver
@@SWOTHDRA I work on cars, and I have discipline.
@@StuckInOhio10 No shit Sherlock. They want me to spend money so they can make a profit. That's specifically how credit cards work, by definition.
@@BeardMan01 they ain't begging you peon
I use all those companies they mention to pay for my vacations I take every other year 😂🤷♂️ I’m just not good at big purchases 😂
Sad part is things are not getting Any better
BNPL is far superior to credit cards.
You go into the plan with a fixed interest rate, or 0% and it doesn't go up if you miss a payment.. and there are no late fees.
The real problem is that because of how enticing the options are, it gets people who should not be buying whatever it is they're buying to spend money they do not really have (similar to credit in this way) and eventually they take on too much. Those biweekly payments or monthly payments add up.
It can lower your credit by reducing the average age of your credit lines
My dad never bought anything he couldn't pay cash for, except his house, which he paid off as soon as he was able.
Very interesting and informative video
The only time I use credit is online. You just have better protection for refunds if the product is dodgy in some way. But regular in person purchases I use cash to try and keep the stats high so they don't create a cashless society. I want the freedom to choose cash if I want.
I used these services, but I know my limit. It’s not because I can’t afford to pay it upfront I just like the breaking down the payment. But so far for me personally, I’ve had no issue. I pay everything in advance.
True. I like it as well. If used properly for what it's intended for, it makes buying expensive items bearable.
@@michaelvang1902That isn't what it's intended for. It's intended for the people who miss the payments.
Reminds me of how payday loan centers used to be on every corner in my city. Now its all online. Just another way to get credit to over spenders.
credit card companies will send you offers immediately after filing bankruptcy ....they know you cant file again 7 years and you are a proven over spender....you will get a card .
I ruined my credit years ago and never repaired it. Pretty handy as it means i cant borrow a penny from anywhere. Thus i cant remember the last time i owed money. I have to save and pay for everything
The last one minute hits harder when you are in debt too. 🔥🙏🏻
Amazon offers BNPL on some products for some customers at zero interest or fees. If you needed to buy the item anyway and have the money, BNPL is a no brainer. If there are fees or interest, forget it.
I use this on PayPal. I just do 4 auto payments.
The over reliance of debt is killing us!
My friend is already in $15k in cc debt! These shoes he wanted was $600, and said “buy it w/ Klarna before it goes down!” Turns out, it dropped to $320 (when I did buy it) and he owes $200 every 2 weeks.
I had major cc debt (roommate couldn’t keep up with his share of rent, and I myself went on a spending spree earlier this year on credit) and when I sold off my house, I’ve been chilling since. PEOPLE HAVE SELF CONTROL
The good thing about affirm is it literally tells you how much youll pay in interest. If you get 0% interest why not? Whats a few dollars every 2 weeks gonna cost compared to all at once?
I used the paypal version to split my $1500 motorcycle purchase into 4 payments because i didnt want to wait until fall to buy it and it was 0% interest when paid on time. Im responsible so it was nice to be able to use, but just like a credit card you need to be responsible lol
While I am glad it worked out for you, it’s still not the responsible choice. Job loss, health changes, circumstance changes… all can happen, and if you don’t get that income you were expecting you still have to make those payments on time.
Whereas if you were saving up to buy the motorcycle outright at least you can use that partial money as an emergency fund.
It’s a convenient option but it does carry risk. 0% interest yes, unless something goes wrong.
If you buy now and have 12 or 18 months no interest if you pay it off its a great thing. They are just counting on you NOT DOING SO.
Which nobody does
@@kathys1285 I did with a new laptop.
How do I invest in klarna?!?
I use it fairly often. I tend to keep purchases reasonable. Nothing over 1k. Biggest purchase on payment plan is apple watch ultra 2. But the rest ive been good on and paid off within the agreed timeframe. A few I have paid off earlier.
I thank god I was taught in school about credit cards 💳 and WHY to NEVER EVER GET ONE 👏🏻👏🏻👏🏻🙌🏻🙌🏻🙌🏻🙌🏻💯💯💯💯💯💯
I have a friend who told me that the economy isn’t doing as bad as people say it is because people are still spending. That was his only justification. And…he happen to be one of those who’s always right and hard to see point of views that aren’t his. I gave up having a discussion with him on that topic.
And what sucks even more is that he’s generally a smart dude. Absolutely disappointing.
That is untrue, talk to someone that has access to bank databases. Bank transactions are down 70% and retail transactions 83% from last year ✅
This economic collapse is going to be the worst economic collapse in the history of the United States 💡
Lmfao keep telling yourself that
@@nealcassady-yn3bh just fyi, the major defense companies are preparing layoffs as we speak. So if what I said doesnt make sense to you, then maybe when you see the defense sector making layoffs, that will make you realize how bad it is
I’ve never used a buy now, pay later service but I’m astonished how many people I know do use it while eating out, gambling, drinking regularly
They didn't even touch on the worst part, which is if an individual misses a payment they are subject to absolutely abhorrent fees and interest rates, which makes it almost impossible to get out from under.
BNPL just teaches terrible savings habits especially to those who are already struggling
Not if you do it properly
Not true
It is not the role of BNPL to teach anyone financial practices. It's a failure of the parents by not teaching their children self-control in spending.
Get rid of your credit cards and only use debit cards. Have back savings, don't run the risk of cc penalties that will destroy you.
Yes, several times. I could pay up front but the purchases I've made through affirm are 0% interest. So why not?
With that mindset put it on credit with rewards and pay off immediately. Atleast you get something in return.
@@ltdlawnservice4586 I pay all my day to day purchases and whatever recurring monthly purchases I can on my CC. It's set to pay the total balance at the end of each month.
Outside of my emergency fund in my high yield savings, I can keep the bulk of my money working in other investments. The $6k I would've spent on new beds for the family and an alarm system for my new house, is likely going to make more money sitting in a moderate risk etf than if I just gave it to Helix up front. That was my thought process.
Always bringing it hot💯🔥🔥🔥👌👍
I wish people would stop piling up this credit card debt. It's part of what keeps goods prices high.
PBD’s pop gave GOLDEN advice. A man cannot truly be himself when he is in debt to an individual or entity..
Money stress can destroy a man’s sanity
Theres Nothing wrong with BNPL, theres something wrong with most people’s money management skills. If you cant buy it twice dnt buy it !
Its not BNPL. Its BN get scammed
And guess who is doing the scamming?
This guy said it. Its right in the bible
I can see lay-away payment option making a come back in this current economy.
We recently sold our house and we used 6 and 12 month interest free debt to do some of the remodeling needed to sell the house. Ended up selling the house in 1 day, closed 3 weeks later and paid off all the debt incurred.
neighbor buys from some company that sends a magizine..clothes...buy pay later the % rate is 33% ... she encouraged me to buy from them I said NO way..I am not interested..that is the highest I have seen but 33% is insane
It is frightening how they are putting people particularly young people in crushing debt. I am old enough to remember when 18% interest on a CC was considered outrageous. Now I see people with 30% interest rates. BNPL seems particularly sinister like payday loans. I remember department store layaway as a teenager. I would use it to buy clothes. There was a $1 or $2 fee for layaway. Not some huge interest charge.
Hes so happy about the Recession coming in, like hes super excited to be witnessing it.
So sad with this inflation....how can ppl get ahead
There is some truth in regards to the stimulus during COVID but the real reason why debt has skyrocketed is because wages have been stagnant for decades while costs and corporate profits have exploded. This caused individuals to get into debt for basic daily needs.
People are buying crap at record levels. Maybe that is a contributing factor, as well.
I use BNPL with a card that offers zero payment 0% interest for 12 months and no fees. I use it for 1 big purchase at a time ONLY if I know I have the assets to pay it off in one year. Then I calculate and make automatic payments so it's paid off by the end of the year. I love it. But if its not paid off you're DONE! 40% interest off the total purchase in small fine print. I think it's a great option but only if your financial habits are kept in check.
Same
I buy pretty much everything with credit cards. I never pay interest using this one trick: pay the bill before it's due.
@@Ungood-jl5epwhat a science, right?
@@cylvaniaallen4498credit card companies HATE that one trick
I use Affirm every year when I buy my season ski pass. That’s the only time.
OMG! PAT! These words of your father, spot on. Very true. Sadly I can confirm.
I didnt expect to heard such a wisdom in bnpl video :)
Thank you
Wow! Apple getting into BNPL and locking you out of your device is a crazy move.
This clown made that up
Not sure what Pat said is true. He sometimes say a lot of BS to sound smart. lol
@@51234ad That clown Patrick has the nerve to criticize pay later firms when he ran a sleazy MLM life insurance scheme where 95% of the licensed sales agents make less than a minimum wage worker making $7.25hr!
66% of them make less than $250/yr!
That barely covers the enrollment fee!
Pathetic Pat!
If it's true or not. The blueprint is there.
It would be foolish for them not to capitalize on that.
If they start locking people out of phones then maybe couple new phone companies can finally enter the market cause that would hurt apples brand.
The day money was invented someone got a hold of some and did something stupid with it.
I always wondered how people can afford to shop everyday in places like Marshall’s and Burlington. It seems they are putting their purchases on a credit card as i see the same people the next day return some of their purchases. People are spending well above their actual budget.
I love the lessons in arithmetic at 9:50