This report focuses on understanding the implications of frictionless design and explores how increased friction could benefit both lenders and borrowers. Our research finds that increased friction, when introduced strategically, can benefit consumers. The evidence on the business value that is derived needs further research, but there are early indications of lower customer acquisition costs and improved portfolio performance. This report first describes and defines positive friction and offers examples from financial and non-financial services. It then identifies linkages between positive friction design and consumer protection in digital financial services through a series of case studies. Finally, we conclude with suggestions for how financial service providers, investors, and policymakers can better utilize positive friction for responsible digital credit design and delivery, with a call to action for further testing of positive friction concepts in real world environments. We derived our insights for this report based on secondary literature review and expert interviews with designers, financial service providers, and consumer advocates.