Why buy now, pay later options aren't necessarily better than credit cards

Between Black Friday deals and Americans' collective credit card debt reaching more than $1 trillion , you may be looking for alternative payment methods this holiday shopping season, including buy now, pay later plans.

Buy now, pay later options accounted for around $6.4 billion of online spending in October, according to Adobe Analytics . But while they may offer attractive benefits, such as interest-free payments, they aren't necessarily better or safer than using a credit card.

"BNPL is still debt," Ted Rossman, Bankrate's senior industry analyst, tells CNBC Make It. "And sometimes these plans encourage people to overspend."

Buy now, pay later payment options essentially allow you to take out a microloan to make a purchase, then pay back that loan in installments. Instead of charging $100 to your credit card at once, you might pay a BNPL provider $25 a week over six weeks, for instance.

While that may seem like a deal, if you're using multiple buy now, pay later plans, the payments can really add up, Rossman says.

If you're choosing between using a credit card or a buy now, pay later option, here's how to decide which is right for you.