Impact of EMI Schemes and Buy-Now-Pay-Later (BNPL) Options on Consumer Buying Behaviour

Abstract

The contemporary consumer landscape is being reshaped by the proliferation of flexible payment solutions, notably Equated Monthly Installment (EMI) schemes and Buy-Now-Pay-Later (BNPL) options. These financial tools have altered traditional purchasing behaviors by enabling consumers to access goods and services immediately while deferring payments over time. This thesis investigates the influence of EMI and BNPL offerings on consumer buying behavior in India, exploring their adoption, impact on purchasing decisions, and the demographic factors that drive their usage. Primary data was collected through surveys targeting diverse consumer segments, and the findings reveal that these payment options not only enhance affordability and convenience but also encourage higher spending and reshape financial planning.