BNPL: Limit instalments to 10-15% of income and restrict usage to two plans
Last Update Date: 06-10-2026
Published by Business Standard
Abhishek Kumar's role: Quoted
Abhishek Kumar cautioned about clauses that shift all responsibility to users and automatic credit bureau reporting. He suggested using at most two BNPL plans, keeping total EMI and card dues within 30–40% of monthly income, and treating BNPL as a loan.
More of Abhishek's views on debt and loans
The article explains how Buy Now Pay Later plans work after a festive-season rise in short-term credit. It covers benefits for disciplined users, effects on credit scores, hidden fees and late-payment costs, red flags in the fine print, who should avoid BNPL, and tips such as capping instalments at 10–15% of income.
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BNPL: Limit instalments to 10-15% of income and restrict usage to two plans