The rapid growth of digital payment systems and financial technology has significantly transformed consumer purchasing behaviour in India. One of the most prominent developments is the emergence of Buy Now, Pay Later (BNPL) services, which allow consumers to purchase products or services immediately while postponing payment or dividing the cost into instalments. This development has become particularly relevant among young consumers who are highly familiar with digital platforms, online shopping and app-based financial services. This research paper examines the relationship between BNPL usage and consumer spending behaviour among young Indian consumers. The study focuses on how deferred payment options influence purchase frequency, impulse buying, spending levels, budgeting behaviour and financial awareness. The research is based primarily on secondary data obtained from academic research papers, journals and published studies on BNPL and consumer behaviour. Existing research indicates that BNPL can reduce the psychological perception of the immediate cost of a purchase and may encourage consumers to spend more. A 2024 study found that customers adopting BNPL spent 6.42% more online than non-adopters, with the effect being particularly noticeable among younger and lower-income consumers. The study concludes that BNPL provides convenience and purchasing flexibility, but its easy accessibility may also encourage impulsive consumption and weaken short-term budgeting discipline. Financial literacy, responsible credit use and transparent information about repayment obligations are therefore important for ensuring sustainable consumer spending among young Indians.

Deepika Raja Shetty, Prof. Ujwala Narkhede, "Buy Now, Pay Later: Consumer Spending Behavior Among Young Indian Consumers" International Journal of Scientific Research and Engineering Development, V9(5): Page(833-837) September - October 2026. ISSN: 2581-7175. www.ijsred.com. Published by Scientific and Academic Research Publishing.