A special law for Buy Now Pay Later schemes is crucial to protect consumers, especially youths, from high debt burdens and ensure balanced market practices.
KUALA LUMPUR: Enacting a special act for Buy Now Pay Later schemes is vital to protect consumers, particularly the younger generation, from high debt burdens.
Global Law Thinker Society Malaysia chairman Muhammad Nazrin Faiz said this move is important to ensure a balance between consumer needs and trader interests.
He explained that current laws are still being adapted to BNPL, as the appropriate legal framework remains undetermined.
“A clear platform is needed so consumers know their purchase limits,” he said during the BernamaTV programme Darah Muda.
He added that sellers also need clarity on the costs or interest rates they should charge.
The enactment would benefit both parties, allowing traders to generate profits while consumers spend without facing excessive financial risk.
Muhammad Nazrin also suggested stakeholders like NGOs intensify financial literacy campaigns for consumers.
Integrating programme results into law drafting would protect both traders and consumers effectively.
He emphasised that this balanced approach would bring a positive impact to the country’s overall economy.
“Too much debt will have an impact on the country,” he concluded.
