Superapp Grab has announced a partnership with credit reporting agency CTOS to extend its buy now, pay later (BNPL) service to non-active users in Malaysia.
Furthermore, the PayLater by Grab solution will also be enabled for in-store purchases at select merchant partners, offering shoppers increased flexibility to pay for their purchases over time.
Following the announcement, anyone can apply to use PayLater postpaid and instalments, as opposed to the company’s previous arrangement for the solution, when the service was offered selectively to eligible users only, based on factors of the likes of their Grab transaction history and activity on the app, details that enabled Grab to verify their credibility as responsible users.
Currently, individuals interested in using PayLater can apply for the service by providing Grab with the necessary information via their app once they have successfully performed a standard electronic Know Your Customer (eKYC) procedure. Afterwards, CTOS will conduct the necessary credit checks and, if passed, users will receive a notification prompting them to activate PayLater, whereas those who do not pass the checks will be alerted and given tips on how to apply for the service more successfully in the future.
Furthermore, Grab will have permission to view the users’ CTOS credit score once the checks are completed. Additionally, current users will not be impacted by the introductions of the CTOS credit checks, as they are applicable to new PayLater applicants only.
Further Grab developments
Apart from the aforementioned update, the company has also announced the extension of its PayLater usage to include in-store purchases at selected merchant partners. Prior to this development, the service has only been available for online transactions. To tap into the function, customers are required to present their Grab QR code at the cashier and, once this is scanned, they will have the option of selecting the preferred payment method, which now includes PayLater.
With the updates introduced as a result of the growing popularity of BNPL services, Grab believes the collaboration with CTOS to enable them to offer the BNPL payments method to a larger user base in a convenient and flexible manner.
Furthermore, with people in Malaysia having returned to shopping in stores, the expansion of PayLater’s usage to include in-store purchases is believed to bring increased accessibility and convenience, with a number of brands already accepting PayLater as a payment method for in-store purchases, including ALL IT Hypermarket, Gamer’s Hideout, Li Ning, and OSIM.