Chen, TaoMarshall, Ben RNguyen, Nhut HVisaltanachoti, Nuttawat2024-07-252024-07-252024-07Economics Letters, ISSN: 0165-1765 (Print), Elsevier BV, 111857-111857. doi: 10.1016/j.econlet.2024.1118570165-1765http://hdl.handle.net/10292/17823We investigate the determinants of demand for Buy Now, Pay Later (BNPL) credit using a comprehensive database from New Zealand. We consider both absolute demand and relative to total personal lending demand. The results indicate that BNPL is more popular with single individuals, younger people, and those on lower incomes. There is a negative relation between absolute and relative BNPL demand and interest rates. BNPL demand was reduced during the period around responsible lending legislation changes, even though these were not specifically related to BNPL, while demand increased following the end of COVID-19 lockdowns.© 2024 The Authors. Published by Elsevier B.V. This is an open access article under the CC BY license (http://creativecommons.org/licenses/by/4.0/).http://creativecommons.org/licenses/by/4.0/38 Economics3801 Applied Economics14 EconomicsEconomics38 EconomicsJournal ArticleOpenAccess10.1016/j.econlet.2024.111857