Do we like them?

Do we like Zip Co?

Buy now, pay later (BNPL) provider with its biggest business in the US. It started in Sydney, Australia.

Our score: 5 out of 10. A profitable BNPL firm that backs regulation in public. We found no fines in our searches, but regulators are watching the whole sector, so we'd back it only with caution.

Zip is a BNPL company that began in Australia and now makes most of its money in the US. Forbes Australia reported that co-founder Larry Diamond stepped aside as CEO. He moved back to Australia and stayed on as an executive director.

On regulation, Zip has said it supports ASIC's view that BNPL is a form of credit. It has also told a Senate inquiry that more regulation of online lending is a good thing. That's a better stance than many in the industry take.

The US consumer regulator, the CFPB, singled out five BNPL firms for scrutiny, and Zip was one of them. The search results mention no penalty. Australia has also moved to bring BNPL under credit-check rules.

We'd rate it middling. It looks well run and has no fines in what we found, but the product carries real risk for stretched customers and the rules are still changing.