Netherlands to ban 'buy now, pay later' for minors

The Dutch House of Representatives has expressed support for a legislative proposal that introduces an 18-year age limit for ‘buy now, pay later’ services. The goal of the measure is to reduce payment arrears among young adults.

During the debate, some political parties, including CDA and ChristenUnie, advocated for a higher age limit of 21. ChristenUnie representative Inge van Dijk noted that risks do not end at 18, as many young adults still end up with debt collection agencies after using services like Klarna, Riverty, or Billink. However, Finance Minister Eelco Heinen argued that a limit of 21 lacks sufficient justification, noting that 18-year-olds are already permitted to purchase homes, apply for credit cards, and join the military.

The legislation, which implements European consumer loan regulations, also mandates that ‘buy now, pay later’ purchases exceeding 250 euros be registered. Additionally, the BKR debt register must be consulted for such purchases starting from 100 euros. The new rules are expected to take effect in November.