Buy Now, Pay Later: An AI and Machine Learning-Based Analysis of Its Influence on Youth Spending Behaviour and Financial Decision-Making

The rapid growth of digital financial technologies has increased the adoption of Buy Now, Pay Later (BNPL) services, particularly among young consumers. BNPL offers flexible payment options and convenient access to short-term credit, but it also raises concerns regarding impulsive purchasing, excessive spending, financial literacy, and responsible financial decision making. This research aims to analyze the influence of BNPL services on youth spending behaviour and financial decision making through Artificial Intelligence (AI) and Machine Learning (ML) techniques. The study focuses on young consumers aged 18 30 years and examines key factors such as BNPL usage frequency, purchasing patterns, financial awareness, affordability, and perceived financial risk. Primary data is collected through a structured questionnaire, while secondary data is obtained from existing research literature and financial reports. The proposed methodology involves data preprocessing, exploratory data analysis, and the application of machine learning algorithms to identify behavioural patterns and predict spending-related risks. The study seeks to investigate the relationship between BNPL usage and financial behaviour while exploring the potential of AI driven predictive analytics to support responsible financial decisions. The research is expected to contribute to a better understanding of BNPL-related financial behaviour among youth and demonstrate the potential of machine learning in promoting financial awareness and informed decision-making.