BNPL's PayLater Excess And Shortages

Illustration. (Photo: Doc. Antara)

JAKARTA - Currently, there are many offers from Buy Now PayLater (BNPL) in the market, such as Kredivo, Gopay and BCA PayLater.

Can you take this type of loan? It is better to pay attention to pluses and minuses to take a paylater.

When the borrower used PayLater, at that time, they immediately bought goods. So, the function of Paylater is debt, not a means of payment such as a credit card.

Paylater is a loan product that must be paid in installments. The installment period is determined at the beginning when submitting Paylater.

Launching from Duwitmu, Excellence in Paylater:

1. Fast and Easy Approval Process

In terms of the length of submission, Paylater is far superior to Credit Cards. On average, Paylater submission takes 24 hours or a maximum of 2 days, for consumers to receive submission results. In fact, some pay later can give approval or rejection within 5 minutes.

2. BI Checking LYK OJK Is Not Mandatory

Regarding BI Checking SLIK OJK, Paylater is easier than Credit Cards. Credit cards require borrowers to pass BI checking or SLIK OJK, while Paylater does not.

3. Loans Without Credit Cards

Paylater does not require this requirement, while credit cards need it. This is what makes Paylater attractive for millennials and used by more circles. Paylater submission does not require borrowers to have other bank credit cards. Paylater is a type of loan without a credit card.

However, BNPL Paylater has a number of shortcomings, namely:

1. Mahal flowers

Meanwhile, the Paylater interest is not regulated by BI, it is free to paylater providers. Meanwhile, for example, the Traveloka PayLater interest is 2.14 percent 4.78 percent per month, OVO PayLater is 2.9 percent, then Shopee PayLater is 2.95 percent, and Gojek PayLater is IDR 7,500-IDR 49,000 per month.

2. No Cash Back

Paylater does not offer a cashback promo. You could say that the borrower at Paylater did not get any promos.

3. Limited Facilities

The airport lounge facility is not available at Paylater. There is no free travel insurance. There are no rewards or points from the transaction results.