The advantage of the numerous deals online but, with the dramatic increase of ‘buy now pay later’ or ‘repay in three months’ offers, what does this mean for our long-term affordability?

You might think what’s the harm in that right? Well imagine you make a large purchase, or you fill your shopping cart to the brim then opt to repay over three months.

Did you have to fill out an affordability calculator? Probably not. So how do they know you will be able to afford those payments over the next three months?

If you find yourself being tempted to spread the cost, make sure you do the maths before you hit that checkout button. Here are three steps to take before you proceed:

1. Set up a monthly budget planner and add in all your usual outgoings PLUS the cost of the buy now pay later repayments
2. Check how much money you would have leftover each month and evaluate it! Can you afford your day-to-day expenses?
3. If you have savings, consider using them to pay for your goods in full. Then amend your budget planner to see the difference!

You can download a FREE budget planner from the Money Advice Service: