Buy Now Pay Later (BNPL) allows you to shop at an online retail store without paying upfront for the shopped items. You can avail of the pay later option at Flipkart, Amazon, Myntra, Big Bazaar, Big Basket and other top online merchants.
You can simply take a BNPL deal from a digital lender to use this facility. Just download its Pay Later app on your iOS or Android device and create your profile by uploading some essential documents and providing the required details. Then choose the "Shop" icon and apply for a BNPL deal linked to the desired merchant.
Once the deal is sanctioned, the borrowed amount is credited to the chosen merchant's online wallet or gift card. So, for instance, if you apply for a Flipkart Pay Later deal, it'll be credited as your Flipkart gift card. You can redeem it for your shopping requirements. After using the deal, you can repay it in easy EMIs over the chosen tenure.
Here are the reasons why a BNPL is a better option than your savings to pay for your shopping needs.
No Need for an Upfront Lumpsum Payment
If you use your savings to pay for your shopping, you need to make the payment upfront in a lumpsum amount. However, if you take a BNPL deal from a Pay Later app, you can use the borrowed funds to finance your shopping list. After that, you can pay the deal later in small EMIs spread across the chosen tenure. This is a more convenient option than spending a chunk of your savings at once.
No Risks of Going Broke
With a BNPL deal, there's no risk of meeting a fund crisis. You can borrow ₹1,000-60,000 on a Pay Later app to start shopping. So, you can use the deal to pay for even big-ticket items or a long shopping list. However, if you drain the same amount in one go from your savings, there's a high chance of going broke, especially at times like a month-end. Moreover, the interest charges are zero to minimal. So, you need not worry about paying heavy EMIs.
No Compromise with Other Goals
If you go broke after draining your hard-earned savings for shopping, you won't be left with enough money to finance your other goals. These may include basic needs like utilities and the internet.
However, if you borrow a BNPL deal from a Pay Later app, you can repay it in small monthly instalments in 90 or 180 days. Since your monthly savings won't go out, you'll be left with adequate funds to meet other regular needs. The quality of your lifestyle won't be compromised.
Conclusion
Now that you see the significant advantages of using a BNPL deal, opt for one to shop for your desired items across various categories without exhausting your precious savings.
