Anyone who orders goods on the Internet often uses payment service providers such as PayPal, Klarna or Ratepay. The services now almost always support the “Buy now, pay later” option. In other words: you order your product, but only pay for it 30 days later, for example. A purchase on account, so to speak, only without additional costs.
“Buy now, pay later” is particularly popular with younger customers because it is considered to be a safe and convenient option, as Schufa board member Ole Schröder explains. It is particularly useful when ordering clothes that you want to try on before paying.
Another option consumers can use is paying in installments. However, extra costs over interest can quickly occur. The Finanztip portal has determined that in some cases an annual interest rate of up to 15 percent is due (via: Tagesschau.de)
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