Lawmakers Seek to Ban Buy-Now, Pay-Later Loans for Some Weapons

Nineteen Democratic lawmakers proposed a ban on buy-now, pay-later loans to finance semiautomatic weapons that would include levying hefty fines on companies that enable the transactions and dealers that accept them.

The Assault Weapon Financing Accountability Act, which will be introduced Thursday by Connecticut Representative John Larson and co-sponsored by 18 other US House members, would prohibit loans payable in four or fewer installments, not including down payments, to purchase semiautomatic weapons, according to a copy of the bill reviewed by Bloomberg News. Violators would be subject to a $100,000 penalty.

Regulators have stepped up their scrutiny of BNPL companies ...