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BNPL Boom: Beyond Financing to Full-Scale Tech Platforms

BNPL Boom: Beyond Financing to Full-Scale Tech Platforms

The buy-now pay-later (BNPL) industry is evolving as major payment card brands and independent providers expand their offerings beyond consumer financing. Visa, Mastercard, Discover, and American Express are transforming into global technology platforms, offering services like BNPL schemes on top of their existing payments infrastructure. Meanwhile, independent BNPL providers such as Affirm are integrating with major e-commerce platforms, like Shopify, and payment processors like Stripe and Amazon Pay, making it easier for merchants to offer this payment option. Affirm has reported significant growth through both merchant partnerships and direct-to-consumer initiatives, with their Affirm Card combining the convenience of a physical card with the flexibility of a virtual card. Despite some concerns from traditional financial institutions about competition, the consensus is that the expansion of BNPL services benefits consumers, banks, and merchants by offering more choice and fostering positive payment experiences.

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