The latest J.D. Power survey reveals a significant rise in the usage of Buy Now, Pay Later (BNPL) services in 2024, particularly among younger consumers. Nearly 50% of Generation Y and Z participants reported using BNPL, a stark contrast to just 21% of older generations. Notably, for the first time, more Gen Z individuals indicated a preference for BNPL over traditional credit cards. Generation Y leads in overall satisfaction with BNPL lenders, achieving a score of 627 out of 1,000, attributing their choice to factors such as convenience, cost-effectiveness, recommendations from family, and brand trust. The survey also highlighted a preference for card-based BNPL solutions, with legacy card issuers receiving the highest ratings. This trend underscores a shift in consumer behavior, as younger generations increasingly favor flexible payment options over traditional credit methods, indicating a potential long-term change in the financial landscape.
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