In a significant consumer protection move, New York has enacted legislation within its FY 2026 budget to regulate ‘buy now, pay later’ (BNPL) products — installment-style credit often offered at the point of sale — potentially creating the most comprehensive state licensing framework for BNPL providers. At the same time, the federal Consumer Financial Protection Bureau (CFPB) has signaled a marked deprioritization of enforcement in this space, foreshadowing a fragmented regulatory landscape that may place the burden of oversight increasingly on state actors.
New York Enacts Landmark ‘Buy Now, Pay Later’ Regulation Amid Federal Regulatory Recalibration
