When we have a personal finance story we want to dig into a little more, we turn to Joel Larsgaard, host of the brand new 'How To Money' show heard every Sunday KFI 12-2pm on KFI or from anywhere on the iHeartRadio app! Here's what we covered with Joel today.
If you were one of the people who got suckered in by the Buy Now, Pay Later pitch during the pandemic or more recently over the holidays, you might regret it because it's about to burst.
For those that don't know, 'buy now, pay later' is kind of like layaway, but different. It flips the script. With traditional layaway, you wouldn't get your product UNTIL you finished making your payments. With 'buy now, pay later,' using companies like Klarna, Afterpay and Affirm, you get your item FIRST with a just small deposit and promise to pay the rest. Using it has become so common that many say the whole system is about to burst.
Americans are piling up credit card debt and with inflation that isn't good....especially when 40% of Americans have NO IDEA what their credit card interest rates are.
Follow Joel on Twitter @HowToMoneyJoel
Listen to Bill's segment with Joel below!