SHAH ALAM, April 13 — Buy now, pay later (BNPL) schemes are drawing increasing scrutiny amid concerns that they may contribute to higher debt levels, especially among youth.
At the same time, the government has urged improved regulations to ensure these schemes are not misused to the point of jeopardising consumers’ financial stability.
Entrepreneur Md Aim Diman said he does not support BNPL as it could encourage people to spend beyond their means.
“The risks of BNPL are indeed clear. Over time, purchases will lead to debt problems and change people’s spending habits until they start buying things they don’t need,” he told Media Selangor.
He suggested the government introduce stricter laws to regulate these schemes to protect consumers from long-term financial burdens.
However, Universiti Teknologi MARA (UiTM) student Nur Afiqah Mohd Romiza said BNPL could be helpful in certain situations but is often misused.
“Sometimes students want to buy items but do not have enough money, so BNPL can help, but many people use it for unnecessary things. The government needs to tighten laws and also increase public awareness.”
She admitted to having used BNPL before but decided to stop due to increasing financial commitments that caused her stress.
UiTM student Hani Farisya Mohd Hanafiyah described BNPL as a form of debt that could burden students, and stressed the importance of financial management education from a young age to cultivate more disciplined spending habits.
“As a student, commitments can grow high because most cannot afford to repay. It is better to save money first before making a purchase.”
Human resources and logistics administration assistant Nurul Syaidattul Nabila Said meanwhile said BNPL could be a temporary emergency measure if used responsibly.
“However, users must understand the risks. If not controlled, it can lead to long-term financial problems,” she said, adding that it is vital to only use the service for essential needs and ensure monthly repayments remain manageable to avoid financial pressure.
In January, Deputy Finance Minister Liew Chin Tong told the Dewan Rakyat that BNPL debt was at RM4.9 billion as of December 31, 2025.
He said there were 243 million BNPL transactions in 2025, with an aggregate value of RM21.3 billion, compared with 146 million transactions worth RM12 billion in 2024.
Users aged 30 and below accounted for about 40 per cent of transactions, raising concerns over the risk of long-term indebtedness among youth.
Although usage has increased, overdue loans were considered manageable at RM160.2 million, or 3.3 per cent of total BNPL lending.
