Hugh recently chatted to Matt Johnson of The New Daily to talk about BNPL products and bad money habits.

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Centaur Financial Services principal adviser Hugh Robertson told The New Daily that BNPL products can create bad money habits that become difficult to shake.

Mr Robertson said these services facilitate “instant gratification” and can discourage consumers from deferring consumption, which could lead to lower levels of savings, extra repayments on loans and voluntary contributions to superannuation.

But consumers can use a simple method to take control.

“It’s like credit cards – if you use cards and never pay interest because you use the card, get the points but make repayments within the interest cycle, you’ve beaten the card at its own game,” Mr Robertson said.

“So No.1 is to do your research, find out whether the product is on sale in retail stores or online, then calculate how much you will pay in every instalment to see whether you can actually afford to pay that amount and track it in your budget.”

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