A New Zealand-based pizza company has recently made headlines with unveiling an unconventional payment system called “AfterLife Pay.”
This innovative scheme allows customers to delay payment for their pizza orders until after their passing. Hell Pizza, known for its creative approach, introduced AfterLife Pay as a new way to embrace the “buy now, pay later” concept.
According to reports, AfterLife Pay will be offered to a limited group of 666 individuals who are willing to enter into a legally binding agreement modifying their wills to defer payment until after their demise.
While the idea may seem unusual at first, the company assures potential customers that there are no hidden fees or penalties associated with this payment plan. The CEO emphasizes that AfterLife Pay aims to address the growing issue of falling into debt traps caused by traditional “buy now, pay later” schemes.
The company’s inspiration for AfterLife Pay stems from the prevalence of buy now, pay later programs in New Zealand. They have observed a concerning trend of individuals utilizing these schemes for essential items, even extending to indulgent treats like pizza. In response, the company wanted to provide a lighthearted solution that allows customers to enjoy their favourite food without immediate financial strain.
While the AfterLife Pay system has generated curiosity, it has also raised concerns among New Zealand’s Consumer Protection Authorities. They have thoroughly researched the scheme and cautioned consumers against using it solely for the purpose of obtaining a complimentary pizza.
In light of these concerns, the CEO highlights that pizza represents one of life’s simple joys. AfterLife Pay enables customers to experience this pleasure without immediate financial burden. The company emphasises that this unique initiative aligns with its stance on buy now, pay later schemes. With AfterLife Pay, customers can savour their pizza without worrying about late fees or penalties, adding a touch of whimsy to the payment process.
New regulations for BNPL in Aus
In recent developments, buy now, pay later providers are set to face more stringent requirements as newly implemented regulations come into effect. The aim of these regulations is to ensure responsible lending practices and enhance transparency within the industry.
Under the new rules, companies operating in the buy now, pay later sector will be obliged to adopt a more comprehensive approach to data analysis. This means they will need to assess and explain the suitability of their loans for customers using a broader range of data points. The objective is to ensure that lending decisions are made responsibly, considering customers’ financial circumstances. By doing so, the regulations aim to prevent individuals from accumulating excessive debt that could lead to financial hardship.
The implementation of these tighter credit checking requirements may necessitate buy now, pay later companies like Afterpay to make significant investments in updating their customer approval systems. Adapting to the new standards will enable them to meet regulatory obligations and continue operating within the industry.
In addition to the enhanced data analysis, the regulations also prohibit automatic increases in credit limits. This restriction may have an impact on the overall transaction volume within the buy now, pay later industry. Stockbroker Shaw and Partners suggest that the absence of automatic credit limit increases could potentially affect the growth and operations of these providers.
With the new regulations in place, it is expected that buy now, pay later providers will need to adapt their practices to comply with the stricter requirements, ensuring responsible lending and offering greater transparency to their customers.