More Malaysians are turning to ‘Buy Now Pay Later’ (BNPL) to shop online and manage daily spending.
According to Bank Negara Malaysia (BNM), BNPL transaction value hit RM9.3 billion in the first half of 2025.
The number of BNPL accounts also jumped to 6.5 million users, especially among young consumers and frequent online shoppers.
Debt is rising too
However, BNM also warned that BNPL debt is also growing, with RM3.8 billion in BNPL payments yet to be settled as of end-June 2025, with 3.2% being labelled as “overdue”, an increase from last year’s figure of 2.9%
Although the amount is still small compared to Malaysia’s total household debt, BNM said the trend needs to be monitored so it doesn’t become a bigger financial problem in the future.
Analysts say Malaysians like BNPL because it offers:
- Instalments with zero interest
- Fast approval
- Easy checkout for online shopping
However, they also warned that users could overspend easily if they are not disciplined.
Regulations on the way
The new Consumer Credit Commission is expected to introduce rules soon to help oversee BNPL platforms and protect users from falling into serious debt.
BNM said it will continue to monitor the trend to ensure BNPL does not become a long-term debt trap, especially for lower-income households.
