Buy Now, Pay Later takes over Coachella as festival costs soar

Image Credits: UnsplashImage Credits: Unsplash
  • Nearly 60% of general admission attendees use "Buy Now, Pay Later" services, a sharp rise from 18% in 2009, reflecting younger consumers’ preference for flexible payment options.
  • Experts warn of overspending and credit score impacts as BNPL providers report missed payments, while regulators globally push for stricter oversight.
  • BNPL partnerships with vendors deepen festival spending culture, but rising costs and debt concerns spark debates about affordability in live events.

[UNITED STATES] As Coachella 2025 unfolds under the scorching desert sun, a notable trend is emerging among festivalgoers: the widespread adoption of 'Buy Now, Pay Later' (BNPL) services. With general admission tickets priced at $649 and VIP passes at $1,399, many attendees are turning to BNPL options to manage the financial burden, reflecting broader concerns about affordability and financial accessibility in the live music industry.​

The appeal of BNPL services is particularly strong among younger demographics, with Gen Z and Millennials accounting for nearly 80% of users at this year’s festival. This aligns with broader financial trends, as a recent Federal Reserve study found that 45% of adults under 30 have used BNPL for discretionary spending, compared to just 12% of those over 50. The generational divide underscores shifting attitudes toward debt and credit, with younger consumers favoring short-term, interest-free options over traditional credit cards.

BNPL Usage on the Rise

Recent reports indicate that approximately 60% of Coachella's general admission attendees are utilizing BNPL services, a significant increase from just 18% in 2009. This surge highlights the growing reliance on alternative payment methods as traditional credit options become less accessible or appealing to younger consumers.

Behind the scenes, BNPL providers are capitalizing on the festival’s high-energy atmosphere by partnering with vendors and sponsors to offer exclusive, time-sensitive promotions. For example, some services are offering "zero-fee" installment plans for food, merchandise, and even travel packages, further embedding BNPL into the Coachella experience. These partnerships blur the lines between convenience and consumerism, raising questions about how much spending is driven by FOMO (fear of missing out) rather than financial prudence.

While BNPL services offer the allure of deferred payments, experts caution that they can lead to financial strain if not managed carefully. The ease of splitting payments into installments may encourage overspending, potentially resulting in accumulated debt and financial stress for consumers who overextend their repayment capabilities.

Adding to the complexity, some BNPL providers have begun reporting missed payments to credit bureaus—a relatively new practice that could impact users’ credit scores. Unlike traditional credit cards, which often offer grace periods, BNPL plans typically require automatic withdrawals, leaving little room for error. Financial advisors warn that without clear budgeting, festivalgoers could face not only short-term cash flow issues but also longer-term credit repercussions.

Industry Response and Regulatory Considerations

The increasing prevalence of BNPL usage at events like Coachella has prompted discussions about the need for regulation in the BNPL sector. Consumer advocates emphasize the importance of transparency, responsible lending practices, and consumer education to mitigate potential financial risks associated with these payment options.

Internationally, regulators are already taking action. Australia and the U.K. have introduced stricter BNPL oversight, including mandatory affordability checks and dispute resolution protocols. In the U.S., the Consumer Financial Protection Bureau (CFPB) is expected to release new guidelines later this year, which could reshape how these services operate at large-scale events. The live music industry, meanwhile, is watching closely, as any regulatory changes could influence ticket pricing and payment structures in the future.

The rise of BNPL services at Coachella underscores a shift in consumer behavior towards more flexible payment methods in the face of escalating event costs. While these services provide immediate financial relief, they also necessitate careful consideration and responsible usage to avoid long-term financial repercussions. As the live music industry continues to evolve, the integration of BNPL options reflects broader trends in consumer finance and the ongoing dialogue about affordability and access in entertainment.


Ad Banner
Advertisement by Open Privilege
Credit
Image Credits: Unsplash
CreditJuly 3, 2025 at 2:00:00 AM

Why purpose-driven private credit in ASEAN is more than just yield

Private credit—traditionally viewed as a niche investment strategy for sophisticated global investors—has undergone a quiet but significant transformation in Southeast Asia. No longer...

Credit Singapore
Image Credits: Unsplash
CreditJuly 1, 2025 at 5:00:00 PM

Things you should avoid paying for with a credit card

For many Singaporeans, credit cards feel like a financial lifeline. They offer ease at checkout, rewards on spending, and the flexibility to delay...

Credit Singapore
Image Credits: Unsplash
CreditJune 29, 2025 at 6:30:00 PM

How to pay off credit card debt in Singapore quickly

Getting your first credit card feels like a rite of passage. For many in Singapore, it marks newfound independence—a tool for convenience, flexibility,...

Credit Singapore
Image Credits: Unsplash
CreditJune 27, 2025 at 8:00:00 PM

Singapore Airlines lie-flat business class now on every route

In global aviation, consistency is rare. Premium experiences are often limited to marquee routes and aircraft, while regional legs serve as placeholders—functional but...

Credit United States
Image Credits: Unsplash
CreditJune 26, 2025 at 4:00:00 PM

Ready for your first credit card? Here’s what every college student should know

Not all credit cards are created equal—and for college students, that’s a good thing. The right kind of credit card can act as...

Credit United States
Image Credits: Unsplash
CreditJune 25, 2025 at 6:00:00 PM

How Buy Now Pay Later affects your credit score

It used to feel like a loophole. You’d split a $120 purchase into four $30 payments using Klarna, Afterpay, or Zip. There were...

Credit Singapore
Image Credits: Unsplash
CreditJune 24, 2025 at 5:00:00 PM

Credit cards aren’t the problem—but your behavior is

Credit cards have become an everyday financial tool across Singapore, the UAE, and most urbanized markets. They offer points, perks, and payment flexibility...

Credit United States
Image Credits: Unsplash
CreditJune 24, 2025 at 2:00:00 PM

How on-time payments affect credit score—and why it's not enough

If you’re carrying a credit card balance in 2025, you’re not alone. Americans now hold $1.18 trillion in credit card debt—near record levels....

Credit Singapore
Image Credits: Unsplash
CreditJune 24, 2025 at 10:00:00 AM

When to apply for a credit card—and when to wait

Applying for a credit card isn’t just about getting another way to pay for things. It’s about taking on a financial product with...

Credit Singapore
Image Credits: Unsplash
CreditJune 23, 2025 at 2:30:00 PM

Premium credit card costs rise—here’s what’s changing

Singapore’s ultra-premium credit card market is shifting again. In recent months, several major issuers have revised their fee structures—quietly, in some cases, and...

Credit Singapore
Image Credits: Unsplash
CreditJune 20, 2025 at 7:30:00 PM

Cash or credit? Weighing the trade-offs in Singapore

As Singaporeans return to pre-pandemic routines—travel, dining out, and retail therapy—one everyday decision quietly shapes our financial habits: whether to pay with a...

Credit United States
Image Credits: Unsplash
CreditJune 16, 2025 at 2:00:00 PM

The hidden risks of credit card cycling

Let’s say you’ve got a $2,500 credit card limit, and you’ve just spent close to that booking a flight and prepaying for a...

Ad Banner
Advertisement by Open Privilege
Load More
Ad Banner
Advertisement by Open Privilege