Managing Debt: Buy Now, Pay Later Services

What year did credit cards become popular in Australia?

• 1964

• 1974

• 1984

• 1994

Approximately what percentage of BNPL accounts are held by people aged 18-35?

• 40%

• 50%

• 60%

• 70%

What demographic primarily uses BNPL services in Australia?

• Middle-aged adults 36-55

• Seniors above 55

• Young adults aged 18-35

• Teenagers under 18

What is the main appeal of BNPL services to young consumers?

• No need for bank visits

• Interest-free periods

• Cashback offers

• High credit limits

Why might young people prefer BNPL services?

• They provide instant access without traditional checks

• They require detailed financial records

• They always improve credit scores

• They offer long-term loans

What financial risk is associated with BNPL services?

• Loss of employment

• Accumulating debt

• High interest rates

• Immediate bankruptcy

What is a potential consequence of unregulated BNPL use?

• Improved credit scores

• Increased savings

• Debt accumulation

• Higher income

What percentage of BNPL users miss payments?

• 25%

• 20%

• 15%

• 10%

What can happen if BNPL payments are missed?

• Automatic account closure

• Fee or interest charges

• Reward points loss

• Account suspension

How do missed payments affect BNPL users?

• Have no effect on credit score

• Decrease the total debt

• Increase the total debt due to fees

• Lead to immediate account closure