Getting to the Bottom of Buy Now Pay Later’s Chargeback Problem

The rise of Buy Now, Pay Later (BNPL) is transforming the way consumers shop, offering flexibility and boosting sales for merchants. But as its adoption skyrockets, a hidden challenge is emerging: chargebacks. While BNPL providers often market their services as a way to reduce chargeback risk for merchants, the reality is more complex. 

Friendly fraud—where consumers dispute legitimate transactions—poses a growing threat, particularly in the U.S. market, where BNPL chargebacks occur at three times the rate seen in the U.K. For BNPL providers and merchants alike, understanding and mitigating these risks is critical to ensuring long-term success in this fast-growing space.

Download now to learn:

• The key drivers behind BNPL chargebacks and why they’re rising
• How chargeback fraud is impacting BNPL providers and merchants
• Proven strategies to reduce chargeback risks and protect revenue