Half of holiday shoppers intend to use buy now, pay later (BNPL) services this season, as revealed by a PayPal survey of 1,000 U.S. adults. Respondents highlighted budget control and affordability as their main motivations for choosing BNPL. The survey also found that over half of the participants are more inclined to make purchases when BNPL options are available. Among younger consumers, 25% of Gen Z and millennials regularly use these services, and a third have tried them at least once. BNPL has gained significant traction, particularly among younger generations. PayPal's report indicates that last year, Gen Z relied on BNPL more than credit cards during the holiday shopping period, marking a notable shift in consumer behavior. Other companies like Klarna and Affirm also offer similar services. PayPal's data suggests that merchants can see a 91% increase in average order value when BNPL is available, a clear incentive for businesses to adopt this payment method. Despite its popularity, some users face challenges with BNPL. Nearly half of U.S. adults who have used these services reported experiencing financial hardship. A YouGov survey found that almost 25% of BNPL users exceeded their budgets, while 16% missed a bill payment after utilizing the service. This raises concerns about the sustainability of relying on BNPL as a budgeting tool, especially during the holiday spending rush.