Finance & Accounting

Why Retailers Love Buy Now, Pay Later

New research by Professor Manju Puri shows how stores profit from “Buy Now, Pay Later,” despite effectively providing zero-interest loans

Clicking “Buy Now, Pay Later” at checkout feels like a small convenience: take the product home today, pay for it later, usually with no interest. But behind that click is an economic mechanism quietly reshaping online retail—and a puzzle about why stores are so eager to lend you money for free. A new study co-authored* by… read more