General Forum

I couldn't wait any longer.... This discussion is to do with what seems to be the "new normal?" way for consumers to make purchases where they don't pay up front or use the "credit card".  How many BNPL outfits are out there and what are their names? We can only go by what our clients bring in at this stage. Zippay, Afterpay, Genoapay, Oxipay/Humm, Laybuy and Klarna (sitting with one client).

Is Bundll still around?  Hope not.

Kia ora Irene, Here is the list MBIE gave us on current active players that they consider in scope for their revew: <p class="MsoNormal">Our understanding is that BNPL providers are: Afterpay, Zip, Humm, Genoapay (Latitude’s BNPL brand), Laybuy, Openpay and Klarna. There are others who market themselves as BNPL but because they have a different business model they fall under the CCCFA e.g. Payright. Please see page 8 of the submission from the Australian Finance Industry Association. https://www.mbie.govt.nz/dmsdocument/18969-australian-finance-industry-association-limited-buy-now-pay-later-submission-pdf</p> We are hoping to hear a decision from Cabinet this month on how they will go about improving protections around BNPL lending. FinCap has strongly put forward the case that they should all be under the usual lending laws. Thanks so much to everyone who helped us with case studies for the submission and who helped us raise the issue and get financial mentor's concerns into the initial discussion paper. https://www.fincap.org.nz/wp-content/uploads/2021/12/211215-SUB-MB-BNPL-lending.pdf

Thanks Jake. Openpay is the addition to the original post. Any word on a decision from Cabinet?

No worries. It was said to be going to cabinet in June but we've since been told things consistent with what the Minister says in the BNPL questions just after 4 minutes in this interview: https://www.youtube.com/watch?v=Y3nSlcGGDpc I suspect it has been split from the latest CCCFA decisions in cabinet deliberately as the regulation of credit has generally not landed well in media since last December.

Kia ora Irene and anyone else ducking in to this thread. Just a note that we're still waiting on the regulation of BNPL lending to go to cabinet and FinCap is getting opportunities to keep pushing our recommendations to officials at MBIE and queries from media. https://www.stuff.co.nz/business/money/129781208/buy-now-pay-later-lenders-scramble-for-survival Thanks to all who have raised concerns about these loans over the last 5 years and please do keep sharing examples of the impact they are having as a decision gets closer an closer!

<i>Thank you have started researching it all now the excuses for clients are covid and cost of living but they must monitor their spending</i> <i> </i> <i>andsome clients borrow from MSD when their online payments are getting out of control and they realise there is none left for food or power.</i> <i> </i> <i>How many online companies can people sign up on when already on the benefit should not be allowed more than 2 until payments are complete or at</i> <i> </i> <i>least nearly finished???</i>

Hi Glenn,   As the BNPL sector is still not regulated, anyone can sign up for as many as they like....hence the push from FMs to get some type of regs in place.   Charlotte