Buy Now, Pay Later (BNPL) has exploded over the past year as a payments method. Although the general concept is not particularly new – buying items “on layaway” was popular for decades after the Great Depression, and installment lending was the most popular form of credit prior to 1977 – BNPL has recently seen a massive resurgence, no doubt in part due to the financial uncertainty brought on by the COVID-19 pandemic.
As with any payments method that operates on some form of point-of-sale credit, the primary concern for merchant adoption of BNPL is ensuring that purchases are consistently repaid. One potentially overlooked method is the Automated Clearing House (ACH) Network.
In a recent podcast interview with PaymentsJournal, Nacha’s Brad Smith discusses the benefits of ACH for BNPL repayment
Listen to previous podcasts on:
ACH growth areas—including donation payments, healthcare payments, and subscription payments.
how Same Day ACH is making a difference in the move toward faster payments.
- how the ACH Network fared during the pandemic.
- the “new normal” of ACH payments and what the future of the payments industry will look like for both businesses and consumers.
- how and why Same Day ACH volumes have been growing and what use cases Nacha’s faster payment option supports.