Beforepay, Afterpay and everything in between

Beforepay, Afterpay and everything in between: Do Australia’s BNPL players have consumers’ best interests at heart? STEPHANIE PALMER-DERRIEN Among other things, 2020 has been the year of e-commerce, and, by extension, it’s become the year of buy-now-pay-later too. Aussie market leader Afterpay has seen its share price top $100, up from $8.90 in mid-March. Competitor Zip Pay has also been going gangbusters on the ASX, and newer players like Payright and Limepay are reaping the benefits of a mass shift online. Such products essentially extend short-term credit to consumers, allowing them to take on a small debt and spread their payments into more manageable chunks. We’re also seeing other alternative credit solutions appearing. Last week, fintech BeforePay raised $4 million for its product allowing users to borrow up to $200 from their pay cheque in advance. BeforePay charges a flat 5% fee, for short-term loans, often over just seven or 14 days. SmartCompany…
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