TROY, Mich.— Buy Now, Pay Later use continues to gain ground with U.S. consumers, and the latest data from J.D. Power suggest the trend is becoming increasingly mainstream—especially among younger users—even as traditional financial institutions are beginning to outperform fintech providers on customer satisfaction.
According to the 2026 U.S. Buy Now Pay Later Satisfaction Study from J.D. Power, 37% of U.S. consumers used BNPL to make a purchase in the past 90 days, up five percentage points from a year earlier. Among consumers under age 40, usage was even higher, with half saying they had used BNPL during the same period.
J.D. Power said fintech brands continue to drive much of the category’s growth, but FIs are gaining traction where it may matter most: customer experience. Bank-branded BNPL services posted an average satisfaction score of 704 on a 1,000-point scale, up 59 points from last year. By comparison, fintech BNPL providers averaged 603, down 17 points year over year.
“The 2026 study shows sustained and rapid growth of BNPL, driven largely by increased use of services offered by FinTech providers. When it comes to overall satisfaction, however, the traditional financial institutions are delivering a much more positive user experience,” said Sean Gelles, senior director of banking and payments at J.D. Power. “This signals an enormous opportunity for traditional financial institutions. Customers are looking for BNPL solutions from the brands they already know and trust.”
The study also points to a key strategic opening for banks and credit unions looking to compete more directly in installment lending. Among consumers using BNPL options tied to their credit cards, 52% said they chose a fixed-payment plan only after the purchase was complete while reviewing or paying their credit card bill, while 48% made the decision at checkout or point of sale. J.D. Power said that split suggests traditional issuers could gain ground by embedding installment-payment options more directly into the checkout experience.
The study found the standard “pay in four” model remains the dominant BNPL structure, used by 82% of fintech customers and 73% of bank customers. Debit cards also remain the most common funding source, with 64% of fintech BNPL users linking payments to a debit card.
Among specific providers, Chase ranked highest in BNPL satisfaction with a score of 706, followed by Plan It by American Express at 703 and Citi Flex Pay at 687.
The 2026 J.D. Power U.S. Buy Now Pay Later Satisfaction Study surveyed 3,909 customers and was fielded from January 2025 through January 2026.