Malaysians are increasingly eager to spend using Buy Now, Pay Later (BNPL), with debt already reaching RM2.8 billion!
In just 6 months, the number of transactions has crossed 83.8 million times with a purchase value of RM7.1 billion.
You can buy all kinds of things, as long as you pay later! But Bank Negara Malaysia (BNM)? Don't worry, he said he is still safe.
As of December 2024, a total of 5.1 million active users are using BNPL to shop, including high-value purchases with installments of up to 24 months.
The arrears rate is still low at 2.9% although it has increased slightly from June 2024 by 2.6%, but BNM still believes the situation is under control.
The question is, does BNM want to continue to 'relax' until the people's debt really mounts before acting?
With the Consumer Credit Act 2025 about to be enforced, tighter controls on BNPL may be the way out – or is it too late?
