2 days ago
Consumers Are Financing Their Groceries. What Does It Say About the Economy?
Ms Tia Hodge, who uses a buy now, pay later service to help cover the cost of groceries, with her husband Jason and their daughter Naveah. PHOTO: KENDRICK BRINSON/NYTIMES
For some American consumers, 'buy now, pay later' loans aren't just for big-ticket items like televisions and vacations. They're for groceries, too.
When Ms Tia Hodge stocked up at her local Kroger in early April, her bill was nearly US$400 (S$516). At checkout, she scanned her app from Klarna, a 'buy now, pay later' company that offers short-term loans. Klarna paid the grocery store for the 71 items in the cart. Hodge split her payments to Klarna into four instalments of about US$100, with zero interest.
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