Starting this week, Apple is rolling out its version of "buy now, pay later."
Using a short-term loan to finance a small or medium purchase — Apple says Pay Later loans will be available in amounts from $50 to $1,000 — is "sold like a no-brainer" to consumers, personal finance expert Carmen Perez said. "I've heard people say it seems like free money."
Of course, there's no such thing. Compared with traditional credit cards, there are few upsides to using any "buy now, pay later" program. And evidence indicates the existence of these loans can facilitate unhealthy consumer behaviors that can trap people in debt.
