Quarterly delinquency rate of BNPL (buy now, pay later) company Affirm 2017-2023
The percentage of Affirm's loans that are at least 30 days past due their original payment date increased in the third quarter of 2023. This was an increase of 0.4 percentage point for the U.S. BNPL company when compared to the same quarter in 2022, but still lower than previous peaks, such as in 2020. Nevertheless, these figures are lower than the aggregated credit card delinquency rate for the United States. Why this is the case, is not exactly clear. Industry analysts believe the lower amounts and shorter timeframe of BNPL payments may lower delinquency. Others argue that paying off such payments, first, may impact the ability to pay back larger transactions performed with a credit card.
