‘Buy Now, Pay Later’ turns costly for Malaysians trapped in debt

SHAH ALAM – Lured by "buy now, pay later" (BNPL) options on online shopping platforms, some financially vulnerable Malaysians are falling into debt.

Fatimah, 40, a private sector employee, now faces RM10,000 in debt accumulated over two years.

She started using BNPL in 2023 after a friend’s recommendation.

What began as casual shopping became a habit fuelled by peer influence, with most purchases going unused.

“From buying RM30 to RM50 clothes, I started splurging on expensive items without savings. Now, my entire salary goes to repaying nearly RM10,000 in debts from electrical appliances.

“Thankfully, I stopped using BNPL before it got worse,” she told Sinar.

Nora, 31, shared how her BNPL habit nearly ended her marriage. Her spending spree started when she was single.

“I preferred online shopping to avoid crowds. Though I no longer work, parcels kept arriving and my husband, who pays for them, often scolded me.

"The worst was early last year when he found out I owed nearly RM5,000 in BNPL debt. It caused a major argument and we almost divorced.

“Luckily, we reconciled after I apologised and vowed to change,” she said.

Meanwhile, Haris, 21, a university student, faces RM2,000 in BNPL debt.

Initially buying study materials, he later splurged on gadgets.

“I use my National Higher Education Fund Corporation (PTPTN) loan for living costs and debt, but it’s not enough, so I work part-time as a delivery rider.

“I don’t blame BNPL but regret my poor self-control. Now, I’m focused on clearing my RM2,000 debt. It may be small for working adults, but for a student, it’s a burden,” he said.

Haris added that many university friends face similar struggles, some owing up to RM5,000, lured by discounts and the ease of deferred payments.