The hidden risks of buy now, pay later services

The 'Buy now, pay later' schemes are becoming increasingly popular among shoppers in Australia, with the total value of purchases rising to over $5.6 billion in 2018-19.

In 2018-19, buy now, pay later providers earned $43 million in revenue from late payment charges. Source: Getty Images

But there are growing concerns that people making multiple buy-now-pay-later purchases simultaneously may lose control of their debt management and fall into financial hardship.