Buy Now, Pay Later (BNPL) has quickly moved from being a niche offering to a must-have payment option both for consumers and the platforms that serve them. What used to be reserved for big-ticket items is now showing up everywhere, from retail checkouts to business-to-business platforms.
So, what’s behind this shift? And what does it mean for your business or SaaS platform?
Why Buy Now, Pay Later Keeps Gaining Ground
A few things are fueling BNPL’s growth. With inflation and credit card interest rates on the rise, people are rethinking how they spend and how they pay. Younger consumers especially are turning to BNPL as a more flexible, transparent alternative to traditional credit.
In fact, more than half of U.S. adults have used BNPL in the past year, and the numbers keep rising. According to Empower, monthly BNPL spending grew by 21% between June 2024 and June 2025. It’s not just for splurges either; over 25% of users now say they use it for essentials like groceries.
A Shift in Payment Expectations
What started as a consumer trend is now shaping expectations for payment experiences more broadly. Today’s buyers, whether individuals or businesses expect flexible payment options, simple approvals, and the ability to manage transactions in one place.
We’re also seeing BNPL expand into new categories. B2B platforms are using it to offer extended payment terms and reduce friction in the procurement process, while service providers are incorporating it to increase conversion and reduce churn.
What This Means for Businesses
BNPL isn’t just convenient for customers, it can move the needle for your bottom line. Businesses offering BNPL often see higher average order values, better conversion rates, and lower cart abandonment.
It’s also become a differentiator for SaaS platforms and marketplaces looking to stand out. If your platform helps merchants sell, ship, or service, offering BNPL can give them the edge they’re looking for while opening up new revenue streams for you.
What to Watch Out For
That said, there are a few things to keep in mind. Like any financial product, BNPL comes with risk, think customer defaults, delayed payouts, and potential margin impacts. And regulation is ramping up. The Consumer Financial Protection Bureau (CFPB) and other agencies are keeping a close eye on how BNPL is marketed, implemented, and disclosed.
If you’re thinking about integrating BNPL into your platform, transparency is key. Make sure your users and merchants understand what they’re signing up for and make sure you have the infrastructure to manage it responsibly.
How Embedded Payments Make BNPL Smarter
Offering BNPL is a lot easier when it’s baked into your platform through embedded payments. That way, BNPL isn’t just another checkout plugin; it’s part of a seamless, secure experience that connects directly to your existing workflows, reporting tools, and customer data.
For SaaS platforms, embedded payments mean less operational friction, better data visibility, and a smoother experience for everyone involved.
Where Usio Comes In
If you’re looking to add BNPL to your platform but want to avoid the technical headaches or compliance concerns Usio can help. We offer embedded payment solutions designed for flexibility, security, and scale. That includes Buy Now, Pay Later functionality, along with ACH processing, debit acceptance, and digital disbursements.
We help SaaS platforms and marketplaces unlock new value by giving users the payment options they want without adding risk or complexity to your business.
Curious how BNPL could fit into your payment strategy? Let’s explore what embedded payments can do for your platform.
