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Deferred payments – what are they and how to use them?

Deferred payment is an increasingly popular form of financing purchases that allows you to postpone the payment date. What exactly is this solution and how to use it to enjoy the convenience of shopping without the risk of falling into a debt spiral? You will find answers to these questions in the article below.

What is deferred payment?

Deferred payment, also known as "buy now, pay later" (BNPL - buy now, pay later), is a service that allows you to make a purchase with a deferred payment date. In practice, this means that the customer receives the goods or service immediately and makes the payment only after a specified period of time, usually 30 days. Importantly, the use of deferred payments is usually free of charge as long as the amount due is settled within the specified period.


How does deferred payment work?

The process of using deferred payments is simple and intuitive. When finalizing the transaction in an online or stationary store, the customer selects the "pay later" or similar option. It then goes through a verification process that takes just a few minutes. After a positive decision, the seller sends the goods and the customer has a specified period of time to settle the payment, usually 30 days. It is worth remembering that after this period, interest or additional fees may be charged.

Advantages and disadvantages of deferred payments

Deferred payments have many benefits for both buyers and sellers. The main advantages of this solution include:


the ability to purchase goods or services without having to have the entire amount at the time of transaction;

budget flexibility and spreading of expenses over time;

a chance to take advantage of opportunities and promotions without burdening the current budget;

simple and quick process of verification and granting consent to defer payment;

no additional costs if repaid on time.


However, we cannot forget about the potential disadvantages and threats associated with deferred payments:


the risk of falling into a debt spiral with lack of control over expenses;

possibility of accruing interest and additional fees if repayment is not made on time;

the need to provide personal data for verification;

negative impact on creditworthiness in case of repayment problems.


Deferred payments and creditworthiness

It is worth being aware that using deferred payments may affect your creditworthiness. Information about the timeliness of repayments is transferred to the Credit Information Bureau (BIK), which is important when applying for a loan or credit. Although a single deferred payment does not significantly affect BIK scoring, regular use of this solution and possible delays in repayment may have a negative impact on creditworthiness.

How to safely use deferred payments?

To avoid the debt trap and repayment problems, it is worth following several rules when using deferred payments:


benefit from deferred payments only in the amount that can be repaid on time;

read contracts and regulations carefully, paying attention to possible additional costs;

control your expenses and avoid the temptation to make excessive purchases;

make payments on time to avoid interest and fees;

In case of problems with repayment, immediately contact the payment operator to arrange a repayment plan.


The most popular deferred payment systems in Poland

There are many deferred payment systems available on the Polish market, both for individual and business customers. The most popular include:


PayPal;

Twisto;

Klarna;

Allegro Pay;

PayU Pay Later.

Deferred payments and other forms of financing purchases

Deferred payments are not the only form of financing purchases with a postponed payment date. Alternative solutions include:


credit cards – allow you to make deferred payments, but are associated with higher costs and a more difficult obtaining process;

installment loans – they allow payments to be divided into installments, but require more detailed verification of creditworthiness and involve interest;

account limits – some banks offer the possibility of overdrawing your personal account, which works similarly to deferred payments, but involves costs.


The choice of the best form of financing depends on individual needs and financial possibilities. Deferred payments are a good solution for people who value convenience and flexibility, but they require self-discipline and control over expenses.


Is it worth using deferred payment?

Deferred payment is a convenient and increasingly popular solution that allows you to postpone the payment deadline for purchases. While it brings many benefits, such as budget flexibility and the ability to take advantage of opportunities, it also requires responsibility and control over spending. When using deferred payments, it is worth remembering to pay your debts on time and read contracts carefully to avoid additional costs and a negative impact on your creditworthiness. If these rules are followed, deferred payments can be a useful tool in managing the home budget.


The growing popularity of deferred payments indicates that more and more consumers appreciate the convenience and flexibility of this solution. At the same time, the development of this financial services sector requires responsibility and education on the part of both sellers and buyers. Responsible use of deferred payments, combined with reasonable management of personal finances, can bring many benefits and facilitate the implementation of both current and larger expenses.

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