As of Sept 30, more than 90% of the debt was credit card related. Lim said credit card debt stood at RM50.7 billion, with RM551.8 million (1.1%) overdue. Online spending continues to drive credit card use.
BNPL loans in Malaysia stood at RM4.2 billion across seven million accounts, with RM147.7 million, or 3.5% overdue from 185,465 users. The government is introducing policies to promote responsible lending and prevent borrowers from taking on excessive debt, protecting both household finances and national stability.
A key measure is the Consumer Credit Act 2025 (CCA), expected to take effect by year-end, which will regulate BNPL providers, especially for e-commerce credit. Under the CCA, BNPL and other non-bank credit providers must follow responsible lending rules: assess creditworthiness and affordability, ensure fair contracts and transparent fees, and adopt ethical debt collection practices.
While BNPL offers convenient payment options, consumers should evaluate their finances before borrowing and improve financial literacy to avoid debt traps.
BNPL loans in Malaysia stood at RM4.2 billion across seven million accounts, with RM147.7 million, or 3.5% overdue from 185,465 users. The government is introducing policies to promote responsible lending and prevent borrowers from taking on excessive debt, protecting both household finances and national stability.
A key measure is the Consumer Credit Act 2025 (CCA), expected to take effect by year-end, which will regulate BNPL providers, especially for e-commerce credit. Under the CCA, BNPL and other non-bank credit providers must follow responsible lending rules: assess creditworthiness and affordability, ensure fair contracts and transparent fees, and adopt ethical debt collection practices.
While BNPL offers convenient payment options, consumers should evaluate their finances before borrowing and improve financial literacy to avoid debt traps.
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