(WHTM)– As people look for ways to stretch their dollars, more and more are turning away from credit cards and instead using buy now, pay later services. Still, many people aren’t sure how they work. Buy now, pay later is a flexible option to split the cost of a product into four installments. The option has become more popular. “Every loan is individually underwritten. There’s no revolving balances, so you’re never paying interest on interest. No hidden fees.