RFI - In the Know
BNPL - Regulation and Legacy
Hear from Co -founder and Director, Alan Shields, as he discusses the different perspectives on the regulation of BNPL in Australia.
Recently in Australia, the Financial Services Minister, Stephen Jones put in motion the regulation of Buy Now, Pay Later (BNPL) in the market. The move announced by Mr. Jones will require BNPL providers to take into account more data when assessing new customers and require the providers to show that their products are suitable for customers under responsible lending obligations.
This is a move that has long been anticipated by many in the industry. The response has been interesting, with the inevitable slew of commentators jumping on the bandwagon of BNPL being bad for consumers and a slippery slope to indebtedness. Indeed, I have witnessed many in the industry celebrating the fall or withdrawal of BNPL brands here in Australia and across the globe.