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BNPL Statistics: Market Size, Adoption and Payment Trends
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TL;DR:
- US BNPL credit issuance was an estimated $156.7 billion in 2025 (Federal Reserve, June 2026). Global GMV of about $560.1 billion is a separate market-research estimate.
- The Federal Reserve estimates Afterpay 34%, Affirm 26%, PayPal 17%, Klarna 15%, Zip 5% and Sezzle 2% of 2025 US issuance. These are not global shares.
- BNPL is not always interest-free: about 63% of 2025 US issuance carried 0% APR, down from 83% in 2020-2021.
- Provider revenue, GMV and user counts measure different things and should not be compared as one series.
- Merchant settlement disputes, borrower repayment issues and card-funded repayment disputes are different workflows.
Buy now, pay later (BNPL) is point-of-sale credit that lets a shopper pay for a purchase over time. Terms vary by provider and product: many plans are short, four-payment splits with no interest, while others are longer installment loans that can carry interest. This page separates the measures people often mix up: global gross merchandise volume (GMV), US credit issuance, provider revenue, and user counts. Each figure shows its geography, period, and whether it is an actual or a forecast. Last checked: 2026-10-05.
If you cite data from this page, please credit Chargeflow and link to this article.
Top-Line BNPL Statistics
Read the Measure and Geography columns before comparing any two rows. A global GMV figure, a US issuance figure and a provider revenue figure are different series and are not interchangeable.
| Measure | Geography | Period | Value | Actual or Forecast | Source |
|---|---|---|---|---|---|
| Total BNPL credit issuance | United States | 2025 | $156.7 billion | Estimate from public company disclosures | Federal Reserve, June 2026 |
| Share of issuance with 0% APR | United States | 2025 | About 63% (83% in 2020-2021) | Estimate from public company disclosures | Federal Reserve, June 2026 |
| Market GMV | Global | 2025 | About $560.1 billion | Market-research estimate; not independently verified | Analyst estimate |
| Provider revenue (market definition varies) | Global | 2025 and 2026 | $44.89 billion (2025) and $54.56 billion (2026) under a broad definition | Market-research estimate and forecast | Fortune Business Insights |
| BNPL users | Global | 2024 and 2028 | About 380 million (2024), about 670 million (2028) | 2024 estimate, 2028 forecast | Juniper Research |
How to Read the Numbers
- GMV: the total value of purchases made with BNPL at merchants. It is a volume measure, not what BNPL companies earn.
- Credit issuance: the amount of credit originated. The Federal Reserve measure is for the United States only.
- Provider revenue: what BNPL companies earn from merchant fees, interest and other income. It is far smaller than GMV, and published estimates differ widely because market definitions differ.
- Users: estimates may count unique consumers, accounts or active borrowers. The user figures here come from a forecaster and should be read as estimates, not a census.
- Forecasts: labeled as such. Treat 2026 and later values as projections, and note whether a year is a calendar year or a company fiscal year.
BNPL Market Size
The most-quoted global GMV estimate is about $560.1 billion for 2025. It comes from market research, not from provider filings, so it is an estimate and should not be added to or compared with the US issuance figure below. Provider revenue estimates for 2025 and 2026 are a separate series and run far lower because they measure earnings, not volume.
| Series | What It Measures | Geography | 2025 Value | Comparable To |
|---|---|---|---|---|
| GMV | Value of purchases made with BNPL | Global | About $560.1 billion (estimate) | Other GMV series only |
| Credit issuance | Credit originated by six large providers | United States | $156.7 billion (Federal Reserve estimate) | Other US issuance series only |
| Provider revenue | Earnings of BNPL companies | Global | $44.89 billion under a broad definition (Fortune Business Insights estimate) | Other revenue series with the same definition |
US BNPL: Federal Reserve Product Overview
The Federal Reserve, June 2026 note estimates total US BNPL issuance at $156.7 billion in 2025. It builds the estimate from public filings and investor materials of six providers (Afterpay, Affirm, PayPal, Klarna, Zip and Sezzle) and applies scaling factors where US-specific data was unavailable. Its shares describe those six providers within US issuance. They are not worldwide market shares and are not comparable to global GMV.
| Provider | Share of 2025 US Issuance | Issuance Volume | Actual or Forecast |
|---|---|---|---|
| Afterpay (Block) | 34% | $53.7 billion | Estimate |
| Affirm | 26% | $41.3 billion | Estimate |
| PayPal | 17% | $26.5 billion | Estimate |
| Klarna | 15% | $23.9 billion | Estimate |
| Zip | 5% | $7.3 billion | Estimate |
| Sezzle | 2% | $3.9 billion | Estimate |
The same note splits 2025 US issuance by product type:
| Product Type | Share of 2025 US Issuance | Volume |
|---|---|---|
| Pay in 4 (four payments, short term) | 50% | $78.3 billion |
| Short-term installment loans | 20% | $31.2 billion |
| Longer-term installment loans (APR up to 36% and terms up to 5 years at one provider) | 30% | $47.1 billion |
About 63% of issuance carried 0% APR in 2025, down from 83% in 2020-2021. BNPL is therefore not always interest-free: the label covers products ranging from short, no-interest splits to longer loans with interest.
BNPL Consumer Adoption
Juniper Research estimated about 380 million BNPL users globally in 2024 and forecasts about 670 million by 2028 (Juniper Research). The definition of a user is the forecaster's own, so the figure is not directly comparable with provider-reported active consumers. For example, Klarna reports 118 million active consumers for full-year 2025, a company-defined count of its own platform.
The CFPB, Dec 2025 report analyzed data from six large BNPL companies for 2019 to 2023, covering loan volume, number of users, frequency of use, average loan size, late fees and charge-off rates. Read it for US borrower behavior and do not extend it to other markets.
Provider Data
Provider-reported figures use each company's own definitions and reporting periods. Klarna reports on a calendar year, and Affirm reports on a fiscal year ending June 30, so the rows are not a like-for-like comparison. See our Klarna vs Affirm comparison for a side-by-side view, and our PayPal statistics for PayPal's wider payments business.
| Provider | Period | Reported Figures | Source | Actual or Forecast |
|---|---|---|---|---|
| Klarna | Calendar year 2025 | Revenue $3.5 billion (+25%); GMV $127.9 billion (+22%); 118 million active consumers; 966,000 merchants | Klarna FY2025 results | Actual |
| Affirm | Fiscal year ended June 30, 2025 | GMV $36.7 billion; about 377,000 active merchants | Affirm 10-K, FY2025 | Actual |
BNPL Disputes and Merchant Responsibilities
Three workflows are often called a "BNPL chargeback," and they are different. A merchant settlement dispute happens inside the provider's own process, for example when a customer says an item never arrived. A borrower repayment issue is between the customer and the provider and does not involve the merchant unless the provider later reverses a settlement. A card-funded repayment dispute occurs when the customer pays an installment with a card and disputes that card charge with the card issuer, which follows card network rules. Check the provider's current merchant terms for which workflow applies to your integration.
The matrix below uses the providers' own merchant documentation. It is not a complete legal summary, so confirm the details in your merchant agreement.
| Provider | Where Merchants Respond | Response Window | Outcome If the Merchant Loses | Source |
|---|---|---|---|---|
| Affirm | Affirm Merchant Portal, Disputes dashboard | Typically 15 days from notification, with reminders 7 days and 1 day before the due date | Affirm refunds the customer and the merchant reimburses Affirm, plus a $15 dispute fee | Affirm Business Hub |
| Klarna | Disputes list in the Kustom portal | 35-day enquiry phase; then one structured response within 13 days of escalation to the chargeback phase | Funds are deducted and Klarna refunds the customer; fees apply to lost disputes and vary by buyer location | Klarna (Kustom) help |
| Afterpay | Check your Afterpay merchant agreement | Not confirmed on this page | Not confirmed on this page | Provider merchant terms |
| PayPal (Pay in 4) | Check PayPal seller protection and dispute terms | Not confirmed on this page | Not confirmed on this page | Provider merchant terms |
Because every provider runs its own process, the provider mix at your checkout determines which rules apply to your BNPL disputes. A consumer can also dispute a card-funded installment with their issuer, which follows card network timelines instead. For card-side disputes, see our guide to chargeback management and the chargeback ratio. Chargeflow lists integration details for Klarna and Affirm.
Regulation Snapshot
| Region | Status | Notes |
|---|---|---|
| United States | Mixed federal direction | The CFPB published its market report in December 2025; check the CFPB for current rule status. |
| United Kingdom | FCA regulation begins July 2026 | Deferred payment credit comes under FCA oversight, per the FCA. |
| European Union | Revised Consumer Credit Directive (CCD II) | Member states apply the revised rules from November 2026; national implementation varies. |
Methods and Limits
- Figures were checked against the cited sources on 2026-10-05. Forecasts and market-research estimates are labeled and not independently verified.
- Federal Reserve shares apply to six providers in US issuance only.
- Provider figures follow each company's fiscal or calendar year as stated.
- User estimates may count users, accounts or borrowers differently and are not additive across sources.
BNPL Statistics FAQs
How big is the BNPL market?
It depends on the measure. Global BNPL GMV is estimated at about $560.1 billion for 2025 (market-research estimate). US BNPL credit issuance was an estimated $156.7 billion in 2025 (Federal Reserve). Provider revenue is a separate, much smaller series. Do not compare these as one market size.
How many people use BNPL?
Juniper Research estimates about 380 million BNPL users globally in 2024 and forecasts about 670 million by 2028. Provider counts differ: Klarna reports 118 million active consumers for 2025. Estimates may count unique users, accounts or active borrowers, so they should not be added together.
Is BNPL always interest-free?
No. Many plans are short, four-payment splits with no interest, and the Federal Reserve estimates about 63% of 2025 US issuance carried 0% APR. The rest were installment loans that can carry interest, with one provider offering APRs up to 36% and terms up to five years. Check the terms of each product.
Which companies lead US BNPL?
For 2025 US issuance, the Federal Reserve estimates Afterpay at 34%, Affirm at 26%, PayPal at 17%, Klarna at 15%, Zip at 5% and Sezzle at 2%, among those six providers. This is not a global ranking.
Sources
- Federal Reserve, June 2026: BNPL beyond Pay in 4, product overview
- CFPB, Dec 2025: The Buy Now, Pay Later Market
- Klarna FY2025 results
- Affirm 10-K, FY2025
- Juniper Research: BNPL users forecast
- Fortune Business Insights: BNPL market report
- Affirm Business Hub: Managing disputes, Klarna disputes (Kustom help)
- FCA: buy now pay later
Disclaimer: this page compiles public information as of the check date and is not legal or financial advice. Statistics can be updated by their sources after publication.
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