Buy now, pay later

Trade Me’s new technology may make it easier for bidders to pay for goods, but it could be risky for buyers on a budget. Australian buy now, pay later payment provider Afterpay will be available on Trade Me listings from $20 to $800. Buyers will receive the item they won straight away but can pay for it in four fortnightly instalments. Sellers will receive the full payment immediately from Afterpay and the payments from the buyer will go to Afterpay. Moneymax financial planner Liz Koh said the system could be useful for people struggling financially who need to buy essential items. But buyers need to make sure they can make the repayments over the time frame and should make sure they read the fine print. The exact date of Afterpay going live isn’t known but will be before Christmas.