Payments firm GHL announced today they will be piloting a Buy Now Pay Later (BNPL) service for its merchants in Malaysia through a partnership with Split, a homegrown BNPL firm that has processed RM 10 million in transactions
Consumers can make purchases in up to 3 monthly interest-free installments with instant approval and this BNPL solution. According to their media release the service is free for consumers with no interest, late fees, financing fees, or any other hidden charges.
The parties involved expect to start piloting at selected merchants by the first quarter of 2021. GHL has also previously entered into a similar arrangement with Australian BNPL firm Splitit, there weren’t any updates made publicly since that announcement.
Mr Sean S. Hesh, Group CEO of GHL said,
“GHL is excited to launch this BNPL option to our merchant base in partnership with Split. BNPL will enable our merchants sell bigger ticket items as their customers will have the option to budget their purchase over interest free instalments and thus making it more affordable.”
“This affordability is timely due to the impact of the COVID-19 pandemic which has impacted the employment and earning capability of many. We hope this new solution will be beneficial to both our merchants in generating higher sales as well as helping their customers afford their needs.”
Mr Dylan Tan, Co-Founder & CEO of Split said,
“The past year has been tough for many Malaysians and Malaysian businesses. As many continue to struggle to make ends meet, business owners are facing challenges of their own, with cash flow, strong lead generation and the ability to scale being only some of the more common pain points. We are proud to partner with GHL to provide all parties involved with a win-win solution, thus ensuring that both merchants and consumers receive the support they require as Malaysia strives to recover from the COVID-19 pandemic and transforms itself into a digitally-driven, high-income nation.“
BNPL is growing in popularity but personalities from the financial literacy space have called out BNPL for potentially promoting unhealthy spending habits.