The term “Jump the Shark” seemed to be everywhere not that long ago. But it seems to have fallen out of favor. It’s one of those sayings that everyone understood but few knew where it came from. 

It means that moment when something in popular culture (celebrity, trend, show) has run out of ideas and lost its relevance. It is a useful phrase that became a cliche. As most useful phrases eventually do.

“Jump the Shark” originates from the 70s sitcom Happy Days. Late in the series, well past its prime, a Happy Days character named Fonzie does a scene where he jumps over a shark on water skis. 

In retrospect, that scene was widely cited as that moment when the show made it clear that its idea tank was empty. As in bone dry. Time to retire to syndication. Hence when you have “jumped the shark”, it’s time to go. And the one who actually jumps the shark is often the last to know it.

So we thought about shark-jumping when we noticed on LinkedIn this week that a Nigerian fintech called Spleet has launched something called Rent Now, Pay Later.

This works as you might expect. Consumers take out a BNPL loan to pay annual rent and then replay Spleet in installments. 

And while this may not be the most outrageous idea yet for using BNPL to drive consumers deeper into debt, it is certainly in the running. Gas Now, Pay Later will also be on the split screen when the “Craziest BNPL Idea” envelope is opened. 

Ep. 30 Unlocks Savings Culture with Accrue CEO Michael Hershfield

Hold My Beer

Maybe you are thinking, well, Rent Now, Pay Later might be a thing in Nigeria, but not in the United States. Well if that is what you’re thinking, then please hold my beer. (Has “hold my beer” jumped the shark yet?)

We did a quick search and found that this is a widely available option in the United States as well. In fact, it’s not even that new. After all, everyone who rents complains about how high rent is, so it’s no surprise that one can borrow rent money on the first and pay it back (hopefully) before the month is over and the next month’s rent is due. 

For example, a company called Keyper (from Dubai actually) offers an RNPL scheme in which Keyper pays your landlord and you pay Keyper via credit card. 

New York-based Jetty also offers an RNPL program. 

Does RNPL mean BNPL has jumped the shark? Hard to say for sure, but our guess is probably not. Most evidence points to BNPL’s growing popularity, despite a lot of finger wagging press coverage like, well, this article. 

There is some recent data that suggests that consumers are leaning harder on BNPL to cover basic expenses. Of which rent is a pretty good example. And the more consumers want to use BNPL to, well, pay the rent, the more fintechs will step into this void. 

A recent J.D. Power survey, for example, found that consumers who are “overextended” are the most likely to turn to BNPL loans. 

While BNPL may not have jumped over any sharks just yet, there are signs that change is afoot. For example, lenders are beginning to tighten requirements to qualify for a BNPL loan, and some regulators have started to treat BNPL platforms the same as any other lender. So the days of easy BNPL loans to supplement lifestyles may inevitably be winding down.