Would you choose to use the buy now, pay later services offered by e-wallet platforms?
Using future money to spend has become a trend, and domestic e-wallet platforms are riding on this trend by launching Buy Now Pay Later services. So far Shopee and Grab have both launched Buy Now Pay Later services.
The benefit of Buy Now Pay Later is that users can avoid paying any interest or additional fees as long as they pay the outstanding amount within a specific period. However, if the user does not pay within the specified period, then an interest or fee will be charged.
Grab’s Buy Now Pay Later service is very simple, which means that the account will be frozen if the user does not pay by a certain deadline. The user has to pay RM10 administration fee to reactivate the account.
As for Shopee’s Buy Now Pay Later service, an additional monthly fee of 1.5% will be levied as long as the payment is not made within the deadline.
The Buy Now Pay Later service offered by the eWallet platform also supports installment payments, which means users can choose to pay in installments of 1 month, 2 months, 3 months, 6 months and 12 months. There is an additional charge if you choose to pay in installments.
For those who are disciplined, buying first and paying later does increase their cash flow and enjoy the benefit of using future money. However, for those who are not disciplined, it is better not to go for the buy now pay later service as it will cause you to pay more.
