Nature of Buy Now Pay Later (BNPL) schemes

Are there credit limits on Buy Now, Pay Later schemes?


  • Currently, there are no MAS regulations which stipulate a credit limit that apply to BNPL schemes.

    According to MAS (Parliamentary Replies),

    last revised on 11 May 2021

    “Buy now, Pay later” (“BNPL”) schemes are typically offered by digital platforms to enable consumers to pay for their purchases in instalments. As in most jurisdictions, BNPL schemes fall outside of MAS’ regulations on credit, which apply to banks and finance companies.

    MAS and other government agencies are hence examining if some form of regulation is necessary for BNPL schemes.