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'Buy now, pay later' goes from niche to normal as young people use it for daily essentials including groceries (www.nbcnews.com)
submitted 2 years ago by to c/news@lemmy.world
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[–] 171 points 2 years ago (3 children)

The NBC article is not telling you this:

Klarna brags to businesses that offering their app will increase the average store order by 45%. That means that the average shopper is spending 45% more—for things they can’t afford—all because they don’t have to pay for it all at once. That’s messed up!

Source: https://www.ramseysolutions.com/debt/klarna

It is NOT about people who can't afford food, it is about psychologically manipulating you into overspending and it works on so many people that the handful who it doesen't work on are just the tiny exception.

And that in a world that can only survive if we consume less.

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  • [–] 26 points 2 years ago

    Thank for sharing this. You are so correct. There’s also social pressure to belong to these subscription services and paying added fees to “fit in”. I mean, if you’re struggling financially AND you’re paying for a Prime membership, you should reconsider your spending habits.

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  • [–] 10 points 2 years ago

    While it's probably true that people spend more than they otherwise would (otherwise this wouldn't be such a huge thing), that doesn't follow from Klarna's marketing figure of 45% higher spend per order. It is totally possible that people order more at once but less often. Especially for groceries, buying in bulk is often much better value, but it can be impossible if you just don't have the cash around.

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