More Americans opt for short-term loans for holiday shopping

As the holiday shopping season kicks in, more consumers are expected to use “buy now, pay later” payment plans. A boost in those payment plans is good news for retailers, but credit experts are sounding alarm bells. The short-term loans often come with consumer-friendly interest rates and allow shoppers to make an initial payment at checkout, then pay the rest in installments. But analysts say key features of the plans can make borrowing too easy and saddle consumers with excessive debt. Data show younger consumers and those with difficulty accessing credit use the loans most frequently. GC reporting.