The Federal government is considering introducing a credit check requirement for buy now, pay later (BNPL) companies like Afterpay and Zip Pay.

The Motley Fool chief investment officer Scott Phillips told 6PR Perth Live host Oliver Peterson the BNPL industry needs to be regulated.

“It’s actually adding to the consumer debt we’ve got,” said Mr Phillips.

“We’ve got to make sure the customers are only being offered affordable debt, they can actually repay.” He continued.

Click PLAY below to hear what Mr Phillips had to say