ShopBack shuts down PayLater service in less than two years

ShopBack Malaysia has announced that its PayLater ‘BNPL’ (Buy Now Pay Later) service will be discontinued later month. ShopBack PayLater customers in Malaysia have been notified about the service discontinuation today via email.

According to the notice, ShopBack LayLater which offers easy payments with 3 monthly instalments, will no longer be available from Friday, 22nd March 2024. It added that ShopBack customers can still earn cashback when they shop and pay via other services including ShopBack Pay (pay in full) and online cashback. It added that all cashback accumulated from past transactions including PayLater will still be available for you to use or cash out to your bank accounts.

ShopBack PayLater Discontinuation notice

If you’re an existing ShopBack PayLater customer with healthy repayment records, the PayLater payment option is still available until 21st March 2024. The BNPL feature will be discontinued effective 00:00 on 22nd March 2024. However, you can still pay and earn rewards using Shopback Pay at most of their merchant partners.

However, users who have never activated or used ShopBack PayLater, will not be able to use the BNPL service with immediate effect.

All existing outstanding instalment payments will still need to be paid on time after 22nd March 2024. ShopBack has advised users to ensure a valid payment method is saved in the Shopback account to avoid late fees on overdue payments. Users can choose to settle the outstanding payments early by selecting the “Pay Now” option.

The FAQ also added that users will only be able to remove their default payment card once all outstanding PayLater instalments are settled in full. You can learn more from the ShopBack PayLater Discontinuation FAQ.

ShopBack PayLater launch in Malaysia

ShopBack PayLater was launched in Malaysia in July 2022 as part of its brand refresh, allowing users to split payments in three instalments with no interest. The BNPL feature was introduced after ShopBack acquired Hoolah in November 2021.

Besides Malaysia, the PayLater feature is also discontinued in Singapore as well. According to The Business Times, ShopBack says the shutting down of PayLater was part of a periodic review of its business units. It added that the decision to discontinue PayLater in Singapore and Malaysia is driven by their strategic focus on sustainable business models with strong potential for growth.