BNPL is a short-term financing option or an instalment loan. The USP of this fintech vertical is that it caters to young or new-to-credit consumers. The Indian Buy Now Pay Later market grew at a CAGR of 321% by gross merchandise value during FY19-FY21 with the average ticket size showing a 24x growth in the same period. The rise of e-commerce amid the COVID season plus speed and convenience are the primary reasons why the 18-25 years population has adopted this payment form.
The LazyPay BNPL apps have made it simple to pay your favourite merchants. You can download from the Google Play Store or App Store, purchase easily and pay back the total within the next 30 days with no interest charged. This saves you from spending money upfront and never missing out on attractive offers on multiple websites. It is not difficult to get the credit limit approved. Simply skip OTPs and PINs and buy in a flash. Here are a few other reasons for India rapidly embracing BNPL.
1. Ease of Use
It is one of the easiest payment approaches which can be done on the go. All you have to do is download the pay later apps to get started. You may also:
- Go to your favourite app or website like Swiggy, Croma or BookMyShow. LazyPay has partnered with more than 250 merchants.
- Look for LazyPay on checkout. This is usually under the Pay Later or cardless EMI category.
- Confirm your purchase with a single tap. You may have to verify your mobile number with an OTP if you are a first-time user.
The entire process is 100% online. Now you can stop worrying for the next whole month and convert big purchases into an affordable no-interest EMI. Borrowers will usually know how much they have to pay which reduces the chances of financial shocks. The amount is less likely to change due to external factors like inflation.
2. Time Saver
Users do not have to wait for their next paycheque to buy. This reduces FOMO or the Fear of Missing Out which is common among young adults today. It means not knowing a piece of information or not being able to make the most of life experiences. It may include lucrative deals and discounts on your most loved categories across Amazon and Flipkart. Add all your favourites to the cart and use the buy now pay later option while payment. Do away with multiple OTPs or card information. Time never runs out when you have these micro loans right at your fingertips.
3. Better User Experience
The top reason why BNPL apps are gaining momentum is that they give customers more control over how they want to pay. One-time EMI comes as a breather in times of a cash crunch. You may enhance limits up to ₹1 lakh in case of shortfalls. So, users do not need to worry about making big purchases on MakeMyTrip, Samsung or Hathway. Studies have found that retailers see an average of 2.1% higher conversion rates once they offer BNPL payments. This is especially true for millennials and Gen Z since purchasing luxe products to keep up with the latest trends is no longer off limits. This type of payment landscape becomes a much more viable option when you lack capital.
4. No Interest Charged
Loans from banks come with floating or fixed interest. This is a percentage of the principal amount that is initially borrowed and is included in the EMI. It increases the overall cost of the loan at the end of the tenure. But a BNPL comes with lower or no interest when compared to the regular variable APR charged on outstanding balances.
Simply get your credit limit approved which usually takes a few seconds, make a purchase with a retailer and opt for the pay later option at checkout. You do not need to touch your savings or credit card to pay each time which does not impair other life goals.
5. Security Factor
The LazyPay BNPL app comes with high-end data safety features. No information is shared with third parties. The data collected will be user location, personal and financial information, app activity, app info and performance, messages and files. Everything is transferred over a secure connection and encrypted at transit. The developer also provides an option to request any detail to be deleted. All these robust data securities and privacy practices make sure you have a safe BNPL experience over any app. It offers the much-needed trust and peace of mind which is necessary for an era where cyber-attacks are quite common.
A handy app on your smartphone makes it easy to purchase 24/7 at your ease. Make sure to read the terms and conditions of the BNPL offerings well. You may also talk to experts in case this is your first time using this digital payment.