Massachusetts S692 aims to protect consumers by regulating buy now pay later lenders.

Massachusetts S692 seeks to protect consumers engaging with buy now pay later lenders by requiring these entities to hold a small loan business license. The bill mandates disclosure of rates, fees, and credit score risks at the point of sale. It also directs the commissioner of banks to investigate specific companies, including Afterpay, Klarna, Zip Co, PayPal, and Sezzle, to ensure compliance with state law. The act takes effect upon passage.

Massachusetts S692 aims to protect consumers by regulating buy now pay later lenders.

Massachusetts S692 seeks to protect consumers engaging with buy now pay later lenders by requiring these entities to hold a small loan business license. The bill mandates disclosure of rates, fees, and credit score risks at the point of sale. It also directs the commissioner of banks to investigate specific companies, including Afterpay, Klarna, Zip Co, PayPal, and Sezzle, to ensure compliance with state law. The act takes effect upon passage.