wait, i just read the study. On the first page the disclaimer is "Commissioned by Afterpay Touch Group Limited". APT literally paid a bunch of consultants to produce a report for them - is there any wonder the report attempts to paint APT in a good light? If this is part of the Bull thesis then its quite terrible tbh.
For example, it compares the cost of buying a fridge on slide 14 using afterpay vs a credit card. Yet somehow the cost of "paying on time" is higher using a CC than APT. This is because they apportion the CC annual fee to the fridge which is quite clearly the wrong thing to do, because a) you can get a lot of CCs for free these days, and b) it ignores the rewards points you can get on a CC, and c) it ignores the fact that credit is extended for a longer period of time using a CC than with APT
Another example, is that survey responders said they used APT because "It helps me pay for items i cannot otherwise afford", and "it helps me feel less guilty about making expensive purchases". This total was 20% of all responders and doesnt exactly paint a picture of high creditworthiness or financially literate. Another 22% said its cheaper, with it being cheaper meaning "if i miss a payment the fees are lower". When obviously, this is untrue because the late fee for APT is larger than for a CC expressed as an interest rate.
57% said it helps them manage their finances, with (in fine print) one of the reasons being "It helps me buy items i know i can afford once i get paid" -> meaning they are not using it for budgeting, they are using APT to consume now before getting their next paycheck. Again this is pretty financially irresponsible!
This is an extremely misleading report, and its like paying the mafia to produce you a report on crime statistics. It only emboldens me on my very negative views on APT
APT Price at posting:
$69.81 Sentiment: Sell Disclosure: Not Held
