DoorDash’s Buy Now, Pay Later Plan: A Worrying Economic Sign?
DoorDash is partnering with Klarna to offer Buy Now, Pay Later (BNPL) options for food delivery, marking an expansion of BNPL services beyond typical large purchases. This allows users to split payments into four interest-free installments or align payments with their pay schedules. While BNPL services have surged in popularity, concerns remain regarding rising consumer debt and lack of regulation. The DoorDash-Klarna partnership coincides with Klarna’s upcoming IPO and reflects the projected growth of the BNPL market to over $160 billion in the next seven years.
John Q. Hosedrinker