New Rules for Buy Now Pay Later

Lenders and providers of Buy Now, Pay Later services will face new rules. The tightened regulations aim to better protect young people from easily falling into debt. Additionally, BNPL providers will come under the supervision of the Dutch Authority for the Financial Markets (AFM) next year, but until then, companies in the sector must get their affairs in order. The Council of Ministers has approved a proposal by Minister Heinen of Finance and State Secretary Rutte of Justice and Security.

More and more consumers, including many young people, are using Buy Now, Pay Later services. This can lead to financial problems, especially for young people who already have a vulnerable financial position. Therefore, new rules based on a European directive will apply from 2026. Until then, the government will continue to focus on self-regulation of the sector. The government will better regulate BNPL services and better protect consumers against new forms of credit.

Broader Supervision

Currently, BNPL services are exempt from supervision by the Dutch Authority for the Financial Markets (AFM). This will change with the introduction of the Consumer Credit Directive II (CCDII) in November 2026.

With the implementation of the directive, BNPL providers will fall under the Financial Supervision Act (Wft). This means they must apply for a license from the AFM to issue credit. They will also be required to perform a creditworthiness check on consumers before granting credit, known as a BKR check.

Stricter Age Verification

Moreover, BNPL services will be prohibited for young people under 18 years old. This means the Netherlands is going further than EU obligations. The government also responds to the wishes of the House of Representatives to subject BNPL services to stricter regulations. BNPL providers will be required to perform proper age verification. Additionally, stricter advertising rules will apply, such as a ban on ads that wrongly suggest that credit improves a consumers financial situation.

Foreign credit providers will also face rules. They must register credits with the BKR and comply with credit checks based on Dutch lending standards. This prevents foreign BNPL and credit providers from offering their services to circumvent Dutch regulations.

New Rules for Credit Card Providers

Credit card providers with monthly repayments will also face new regulations in the Netherlands. To keep credit cards affordable for consumers and profitable for providers, some exceptions apply. Providers can, for example, still charge a monthly fee for credit card use.

Discussions and Code of Conduct

The measures from the CCDII must come into effect by November 20, 2026, at the latest. Until then, the government will continue discussions with stakeholders and promote self-regulation of BNPL providers through a code of conduct.

The Council of Ministers has agreed to send the CCDII implementation proposal for advice to the Council of State.