Afterpay (ASX:APT) share price drops on scathing broker note

The Afterpay Ltd (ASX: APT) share price has declined after being on the receiving end of a negative broker note from UBS.

What happened to the Afterpay share price?

Afterpay shares are down 1% today – and it fell below $110 earlier – after UBS issued a scathing note about the buy now, pay later business.

The trigger for the note was the announcement yesterday by Commonwealth Bank of Australia (ASX: CBA) that it plans to enter the buy now pay later sector.

One of the main things that UBS pointed out was the fact that merchants can’t pass on the costs of the buy now pay later fees – which are between 3% to 7%. However, merchants can pass on…