Overview

• Justice Minister Stefanie Hubig unveiled a bill to classify deferred-payment offers as consumer loans under EU rules.
• Providers would have to conduct affordability checks and present transparent fee and risk information before purchase.
• Consumer groups praised stronger safeguards but warned that allowing contracts in text form could weaken protections.
• About 35 percent of under-30s now regularly use BNPL services and face potential overspending due to delayed payment effects.
• Germany aims to implement the 2023 EU consumer credit directive by 2026, bringing BNPL into line with traditional loans.