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Buy Now Pay Later: your protections since 15 July 2026

Since 15 July 2026, interest-free Buy Now Pay Later provided by a separate lender has been regulated by the Financial Conduct Authority (FCA). Agreements taken out from that date come with clearer information, affordability checks, access to the Financial Ombudsman Service and Section 75 protection.

Reviewed 23 September 2026 · applies across the UK unless a nation is named · sources listed below · how we check

What changed on 15 July 2026

The FCA now regulates what the law calls deferred payment credit: interest-free credit repaid in 12 or fewer instalments over 12 months or less, provided by a lender that is separate from the seller. Lenders must be authorised by the FCA or have temporary permission. For agreements entered into from 15 July 2026 you get:

clear information upfront about payments, amounts and what happens if you miss one
proportionate affordability checks before you borrow
support if you get into financial difficulty
the right to complain to the Financial Ombudsman Service
Section 75 protection for items with a cash price over £100 and up to £30,000

What is not covered

Agreements taken out before 15 July 2026 stay unregulated, and the new protections do not apply to them.
Buy Now Pay Later offered directly by the retailer you bought from, rather than a separate lender, is not regulated under the new rules.
Buy Now Pay Later-style offers that charge interest were already regulated as ordinary credit.

If something goes wrong with what you bought

Start with the seller, using your normal rights for faulty goods. If that does not work and your agreement is regulated, you can make a Section 75 claim to the lender, then complain to the Financial Ombudsman Service if needed. If you paid your instalments by card, you may also be able to use chargeback on that card.

Checking your agreement

Check the date you entered the agreement and who the lender is. You can check whether a lender is authorised on the FCA Firm Checker.

Quick answers

Does Section 75 apply to Buy Now Pay Later now?

For regulated agreements with a separate lender, taken out on or after 15 July 2026, yes, for items with a cash price over £100 and up to £30,000.

My Buy Now Pay Later purchase was before 15 July 2026. Am I protected?

Not by the new rules, because earlier agreements stay unregulated. You still have your normal rights against the seller, and you may be able to use chargeback on the card you paid your instalments with.

Is Buy Now Pay Later offered by the shop itself covered?

No. If the retailer provides the Buy Now Pay Later itself, it is not regulated under the new rules. Your rights against the retailer as seller still apply.

Can I complain to the Financial Ombudsman about Buy Now Pay Later?

Yes, for regulated agreements taken out on or after 15 July 2026, once you have complained to the lender and are unhappy with its final response.

Official sources

Check your own situation

The Be Consumer Wise app walks you through what you bought, how you paid and what went wrong, shows the right helpline for your part of the UK, and lets you ask ConsumerBot follow-up questions.

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Reviewed 2026-09-23. General legal information about UK consumer rights, not legal advice.