Appearing in CBS News on September 2, 2026, Megan Cerullo talks to Ariel Nelson, senior attorney at NCLC, about how financial firms are pushing buy now, pay later loans as a means for people to cover essential expenses, such as rent, groceries, electricity bills, and even medical costs.
Consumer advocates warn that using BNPL loans for daily necessities and other critical expenses is risky, noting that lenders sometimes obscure the potential costs of these short-term loans. The growing usage of BNPL loans for rent and other necessities underlines how many Americans, depleted in recent years by high inflation, are struggling with the cost of living.
“The most helpful thing about them is what they reveal about the state of affordability — or unaffordability — in our country, which is that people are struggling to pay rent and utilities on time and in one amount,” Nelson told CBS News. “At best, [BNPL loans] can act as a temporary Band-Aid. Even then, they are not risk-free.”
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