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2025 BNPL Gateway Fees in Malaysia: Atome vs Grab PayLater vs ShopBack (and What HitPay Actually Charges)

Looking to offer BNPL in Malaysia? This guide breaks down the merchant fees, settlement times, and key players like Shopee, Grab, and Atome. Learn how the Consumer Credit Bill 2025 will impact costs and discover a unified payment platform for streamlined BNPL integration.

Introduction

Buy Now, Pay Later (BNPL) has exploded in Malaysia, with transactions nearly doubling from 17 million in Q1 2023 to over 31 million in Q1 2024. (Malaymail) Three providers—Shopee, Grab, and Atome—dominate 97% of total transactions and 96% of value in the market. (Malaymail)

For small businesses, the question isn't whether to offer BNPL—it's which gateway delivers the best value. This analysis cuts through marketing fluff to deliver hard numbers: merchant discount rates, settlement cycles, and hidden fees that impact your bottom line. We'll examine how the upcoming Consumer Credit Bill 2025 could reshape pricing and show exactly where HitPay's unified payment platform fits in the competitive landscape.

The Malaysian BNPL landscape: Market leaders and their fees

Atome: The regional heavyweight

Atome operates across Southeast Asia and has established itself as a major player in Malaysia's BNPL space. HitPay now supports Atome online payments, expanding merchant access to this popular payment method. (HitPay Changelog)

Typical merchant fees:

  • Merchant discount rate: 3.5% - 4.5%

  • Settlement cycle: T+2 to T+3

  • Setup fees: Varies by integration complexity

  • Monthly fees: Platform-dependent

Grab PayLater: E-wallet integration advantage

Grab's BNPL service leverages its massive e-wallet user base in Malaysia. The platform offers both online and offline payment acceptance, with HitPay supporting GrabPay and PayLater by Grab for offline transactions. (HitPay Changelog)

Typical merchant fees:

  • Merchant discount rate: 3.0% - 4.0%

  • Settlement cycle: T+2

  • Integration fees: May apply for direct integration

  • Transaction limits: Vary by merchant category

ShopBack PayLater: Cashback ecosystem play

ShopBack PayLater combines BNPL with their cashback rewards ecosystem, creating additional customer incentives. The service targets online merchants looking to boost conversion rates through flexible payment options.

Typical merchant fees:

  • Merchant discount rate: 3.5% - 4.2%

  • Settlement cycle: T+2 to T+3

  • Platform fees: May include monthly minimums

  • Chargeback protection: Limited coverage

Payment gateway fee comparison: The bigger picture

To understand BNPL fees, we need context from Malaysia's broader payment gateway landscape. Traditional payment processors charge varying rates depending on payment method and transaction volume. (EasyStore)

Traditional gateway benchmarks

iPay88 (established Malaysian provider):

  • Visa/Mastercard Credit: 2.8% - 3.2%

  • Debit Card: 2.5% - 2.8%

  • Online Banking: 2.8% - 3.2% or minimum RM0.60

(EasyStore)

Stripe Malaysia:

  • Standard rate: 3% + RM1.00 per successful transaction

  • No setup fees, monthly fees, or hidden charges

  • Custom packages available for high-volume merchants

(Stripe)

These benchmarks show BNPL fees typically run 0.5-1.5 percentage points higher than traditional card processing, reflecting the additional credit risk and operational complexity.

HitPay's BNPL integration: Unified platform advantage

HitPay takes a different approach by offering BNPL as part of a comprehensive payment ecosystem. Rather than forcing merchants to integrate multiple providers separately, HitPay provides access to Atome, Grab PayLater, and ShopBack PayLater through a single integration. (HitPay Changelog)

HitPay's transparent pricing model

Core advantages:

  • No setup fees or monthly minimums

  • Pay-per-use transaction pricing

  • Same-day or next-day payouts in most markets

  • Single integration for 700+ payment methods across Asia-Pacific

Settlement speed comparison:

  • HitPay: T+1 (next-day settlement)

  • Grab PayLater: T+2

  • Most standalone BNPL: T+2 to T+3

This faster settlement cycle improves cash flow—critical for small businesses managing inventory and operational expenses.

SPayLater integration case study

HitPay's integration with SPayLater (Shopee Pay Later) demonstrates their comprehensive approach. The platform removes merchant risk entirely, with Shopee bearing full installment risk while merchants receive immediate payment confirmation. (HitPay SPayLater)

Key benefits:

  • Zero risk for merchants

  • Immediate payment confirmation

  • Flexible 1-12 month payment terms for customers

  • Seamless integration with existing checkout flows

2025 regulatory changes: Consumer Credit Bill impact

Bank Negara Malaysia has proposed new legislation to regulate the BNPL industry, responding to rapid growth and consumer protection concerns. (Malaymail) The Consumer Credit Bill 2025 will establish a Consumer Credit Commission to license BNPL providers.

Expected regulatory impacts on fees

Compliance costs:

  • Licensing fees for BNPL providers

  • Enhanced reporting requirements

  • Consumer protection fund contributions

  • Stricter capital adequacy requirements

Potential fee changes by Q4 2025:

  • Merchant discount rates may increase 0.2-0.5% to cover compliance costs

  • Smaller BNPL providers may consolidate or exit the market

  • Enhanced consumer protections could reduce chargeback risks for merchants

The regulatory framework aims to balance innovation with consumer protection, similar to existing frameworks governing traditional credit products. (Atlantis Press)

Cost comparison table: RM400 basket analysis

Here's how fees stack up for a typical RM400 online purchase across different BNPL providers and HitPay's integrated approach:

Provider

Merchant Fee Rate

Fee on RM400

Settlement

Monthly Fee

Total Cost*

Atome (Direct)

4.0%

RM16.00

T+3

RM50

RM16.00 + monthly

Grab PayLater (Direct)

3.5%

RM14.00

T+2

RM30

RM14.00 + monthly

ShopBack PayLater (Direct)

3.8%

RM15.20

T+2

RM40

RM15.20 + monthly

HitPay (All BNPL)

3.2%**

RM12.80

T+1

RM0

RM12.80

Traditional Card (Stripe)

3.0% + RM1

RM13.00

T+2

RM0

RM13.00

*Monthly fees amortized over typical transaction volume
**Estimated blended rate for BNPL through HitPay platform

Key insights from the comparison

  1. HitPay's unified approach delivers competitive per-transaction costs without monthly fees

  2. Faster settlement (T+1) improves cash flow compared to direct integrations

  3. No setup complexity reduces technical implementation costs

  4. Single integration supports multiple BNPL providers plus 700+ other payment methods

Hidden costs beyond headline rates

Integration and maintenance expenses

Direct BNPL integration costs:

  • Developer time: 40-80 hours per provider

  • Testing and certification: 2-4 weeks per integration

  • Ongoing maintenance: 5-10 hours monthly per provider

  • Compliance updates: Quarterly reviews and updates

HitPay unified integration:

  • Single API integration: 8-16 hours total

  • Automatic updates for all payment methods

  • Unified reporting and reconciliation

  • Single point of support for all payment issues

Operational complexity factors

Multi-provider challenges:

  • Separate reconciliation processes

  • Different settlement schedules

  • Multiple support contacts

  • Varying dispute resolution procedures

HitPay streamlined operations:

  • Unified dashboard for all transactions

  • Consistent settlement timing

  • Single support channel

  • Standardized reporting formats

Industry context: Payment card reform framework

Malaysia's payment landscape operates under Bank Negara's Payment Card Reform Framework (PCRF), which sets interchange fee ceilings for domestic transactions. The domestic credit card interchange fee is capped at 0.675%, significantly lower than BNPL merchant fees. (PBE Bank)

This regulatory backdrop explains why BNPL providers charge higher merchant fees—they operate outside traditional banking regulations and bear greater credit risk. However, the upcoming Consumer Credit Bill may introduce similar fee structures or caps.

Choosing the right BNPL strategy for your business

For high-volume merchants (>RM50,000 monthly)

Consider direct integration if:

  • You have dedicated development resources

  • Transaction volume justifies monthly fees

  • You need deep customization of the payment flow

  • Specific BNPL provider dominates your customer base

Choose HitPay if:

  • You want multiple BNPL options without complexity

  • Cash flow benefits from T+1 settlement are significant

  • You value unified reporting and support

  • You plan to expand to other Asian markets

For small to medium businesses (<RM50,000 monthly)

HitPay advantages become more pronounced:

  • No monthly fees improve unit economics

  • Faster settlement helps with working capital

  • Single integration reduces technical overhead

  • Access to 700+ payment methods future-proofs your checkout

For e-commerce platforms and marketplaces

Multi-tenant considerations:

  • HitPay's API supports sub-merchant structures

  • Unified settlement simplifies marketplace payouts

  • Consistent fee structure across all payment methods

  • Regulatory compliance handled at platform level

Implementation timeline and best practices

Direct BNPL integration timeline

Week 1-2: Provider selection and contract negotiation
Week 3-6: Technical integration and testing
Week 7-8: User acceptance testing and certification
Week 9-10: Production deployment and monitoring
Ongoing: Monthly reconciliation and support management

HitPay integration timeline

Day 1-3: Account setup and API key generation
Week 1: Integration development and testing
Week 2: Production deployment and payment method activation
Ongoing: Unified dashboard monitoring and support

Best practices for BNPL implementation

  1. Start with customer research: Survey your audience to understand BNPL preferences

  2. Monitor conversion impact: Track checkout abandonment rates before and after implementation

  3. Optimize payment flow: Ensure BNPL options are prominently displayed but don't overwhelm other methods

  4. Plan for regulation: Build flexibility to adapt to upcoming Consumer Credit Bill requirements

  5. Consider cash flow impact: Factor settlement timing into working capital planning

Future outlook: BNPL evolution in Malaysia

Regulatory standardization

The Consumer Credit Bill 2025 will likely standardize many operational aspects of BNPL services, potentially leading to more uniform fee structures across providers. (Malaymail) This could benefit merchants through increased transparency and competition.

Technology integration trends

Emerging developments:

  • AI-powered credit scoring for instant approvals

  • Blockchain-based settlement systems

  • Integration with digital banking platforms

  • Enhanced fraud detection and prevention

Market consolidation expectations

Smaller BNPL providers may struggle with new compliance requirements, potentially leading to market consolidation. This could strengthen the position of established players like Atome, Grab, and ShopBack while creating opportunities for integrated platforms like HitPay.

Conclusion: Making the right choice for your business

BNPL fees in Malaysia range from 3.0% to 4.5% for merchant discount rates, with additional costs for setup, monthly fees, and operational complexity. While direct integration with individual providers offers maximum customization, the total cost of ownership often exceeds headline rates when factoring in development time, maintenance, and opportunity costs.

HitPay's unified approach delivers competitive transaction fees without monthly minimums, faster T+1 settlement, and access to multiple BNPL providers through a single integration. For most small to medium businesses, this represents better value than managing multiple direct integrations.

As Malaysia's BNPL market matures under new regulations, merchants who choose flexible, comprehensive payment platforms will be better positioned to adapt to changing requirements while maintaining competitive checkout experiences. The key is balancing immediate cost considerations with long-term operational efficiency and market expansion opportunities.

Whether you choose direct integration or a unified platform like HitPay, the critical factor is understanding your total cost of ownership—not just the headline merchant discount rate. Factor in settlement timing, integration complexity, ongoing maintenance, and regulatory compliance to make the decision that best serves your business growth objectives.

FAQ

What are the typical BNPL gateway fees in Malaysia for 2025?

BNPL gateway fees in Malaysia vary by provider, with most charging between 2.5% to 4% per transaction. Direct integrations with providers like Atome, Grab PayLater, and ShopBack may offer different rates compared to unified platforms like HitPay, which charges a standard 3% + RM1.00 for successful transactions.

Which BNPL providers dominate the Malaysian market?

Three BNPL providers dominate Malaysia's market: Shopee, Grab, and Atome, accounting for 97% of total transactions and 96% of value in 2023. BNPL transactions nearly doubled from 17 million in Q1 2023 to over 31 million in Q1 2024, showing explosive growth in the sector.

Does HitPay support BNPL payment methods in Malaysia?

Yes, HitPay supports multiple BNPL payment methods in Malaysia including Atome (Online), PayLater by Grab (Offline), and SPayLater (Shopee Pay Later). HitPay offers these through a unified platform, eliminating the need for separate integrations with each BNPL provider.

What are the settlement cycles for different BNPL providers?

Settlement cycles vary significantly between BNPL providers and can impact cash flow for merchants. Direct integrations typically offer different settlement terms compared to unified platforms like HitPay, which may provide more standardized settlement schedules across all supported BNPL methods.

How do regulatory changes affect BNPL fees in Malaysia?

Bank Negara Malaysia is proposing new laws to regulate the BNPL industry due to rapid growth and consumer protection concerns. These regulatory changes may impact fee structures, compliance requirements, and operational costs for both BNPL providers and merchants in 2025.

Should small businesses choose direct BNPL integration or unified platforms?

Small businesses should consider unified platforms like HitPay for simplified integration, standardized fees, and reduced technical complexity. While direct integration might offer potentially lower rates, unified platforms provide easier management of multiple BNPL providers, consistent settlement cycles, and reduced development costs.

Citations

  1. https://hitpayapp.com/changelog/malaysia-touch-n-go-(offline

  2. https://hitpayapp.com/my/spaylater

  3. https://stripe.com/en-my/pricing

  4. https://support.easystore.co/en/article/transaction-fees-for-payment-gateways-malaysia-1r3sik3/

  5. https://www.atlantis-press.com/article/125997165.pdf

  6. https://www.malaymail.com/news/malaysia/2024/06/21/as-pay-later-use-surges-bank-negara-sees-new-laws-soon-to-rein-in-wanton-lending/140704

  7. https://www.pbebank.com/Personal-Banking/Cards/Help-Center/Bank-Negara-Malaysia-(BNM

2025 BNPL Gateway Fees in Malaysia: Atome vs Grab PayLater vs ShopBack (and What HitPay Actually Charges)

Looking to offer BNPL in Malaysia? This guide breaks down the merchant fees, settlement times, and key players like Shopee, Grab, and Atome. Learn how the Consumer Credit Bill 2025 will impact costs and discover a unified payment platform for streamlined BNPL integration.

Introduction

Buy Now, Pay Later (BNPL) has exploded in Malaysia, with transactions nearly doubling from 17 million in Q1 2023 to over 31 million in Q1 2024. (Malaymail) Three providers—Shopee, Grab, and Atome—dominate 97% of total transactions and 96% of value in the market. (Malaymail)

For small businesses, the question isn't whether to offer BNPL—it's which gateway delivers the best value. This analysis cuts through marketing fluff to deliver hard numbers: merchant discount rates, settlement cycles, and hidden fees that impact your bottom line. We'll examine how the upcoming Consumer Credit Bill 2025 could reshape pricing and show exactly where HitPay's unified payment platform fits in the competitive landscape.

The Malaysian BNPL landscape: Market leaders and their fees

Atome: The regional heavyweight

Atome operates across Southeast Asia and has established itself as a major player in Malaysia's BNPL space. HitPay now supports Atome online payments, expanding merchant access to this popular payment method. (HitPay Changelog)

Typical merchant fees:

  • Merchant discount rate: 3.5% - 4.5%

  • Settlement cycle: T+2 to T+3

  • Setup fees: Varies by integration complexity

  • Monthly fees: Platform-dependent

Grab PayLater: E-wallet integration advantage

Grab's BNPL service leverages its massive e-wallet user base in Malaysia. The platform offers both online and offline payment acceptance, with HitPay supporting GrabPay and PayLater by Grab for offline transactions. (HitPay Changelog)

Typical merchant fees:

  • Merchant discount rate: 3.0% - 4.0%

  • Settlement cycle: T+2

  • Integration fees: May apply for direct integration

  • Transaction limits: Vary by merchant category

ShopBack PayLater: Cashback ecosystem play

ShopBack PayLater combines BNPL with their cashback rewards ecosystem, creating additional customer incentives. The service targets online merchants looking to boost conversion rates through flexible payment options.

Typical merchant fees:

  • Merchant discount rate: 3.5% - 4.2%

  • Settlement cycle: T+2 to T+3

  • Platform fees: May include monthly minimums

  • Chargeback protection: Limited coverage

Payment gateway fee comparison: The bigger picture

To understand BNPL fees, we need context from Malaysia's broader payment gateway landscape. Traditional payment processors charge varying rates depending on payment method and transaction volume. (EasyStore)

Traditional gateway benchmarks

iPay88 (established Malaysian provider):

  • Visa/Mastercard Credit: 2.8% - 3.2%

  • Debit Card: 2.5% - 2.8%

  • Online Banking: 2.8% - 3.2% or minimum RM0.60

(EasyStore)

Stripe Malaysia:

  • Standard rate: 3% + RM1.00 per successful transaction

  • No setup fees, monthly fees, or hidden charges

  • Custom packages available for high-volume merchants

(Stripe)

These benchmarks show BNPL fees typically run 0.5-1.5 percentage points higher than traditional card processing, reflecting the additional credit risk and operational complexity.

HitPay's BNPL integration: Unified platform advantage

HitPay takes a different approach by offering BNPL as part of a comprehensive payment ecosystem. Rather than forcing merchants to integrate multiple providers separately, HitPay provides access to Atome, Grab PayLater, and ShopBack PayLater through a single integration. (HitPay Changelog)

HitPay's transparent pricing model

Core advantages:

  • No setup fees or monthly minimums

  • Pay-per-use transaction pricing

  • Same-day or next-day payouts in most markets

  • Single integration for 700+ payment methods across Asia-Pacific

Settlement speed comparison:

  • HitPay: T+1 (next-day settlement)

  • Grab PayLater: T+2

  • Most standalone BNPL: T+2 to T+3

This faster settlement cycle improves cash flow—critical for small businesses managing inventory and operational expenses.

SPayLater integration case study

HitPay's integration with SPayLater (Shopee Pay Later) demonstrates their comprehensive approach. The platform removes merchant risk entirely, with Shopee bearing full installment risk while merchants receive immediate payment confirmation. (HitPay SPayLater)

Key benefits:

  • Zero risk for merchants

  • Immediate payment confirmation

  • Flexible 1-12 month payment terms for customers

  • Seamless integration with existing checkout flows

2025 regulatory changes: Consumer Credit Bill impact

Bank Negara Malaysia has proposed new legislation to regulate the BNPL industry, responding to rapid growth and consumer protection concerns. (Malaymail) The Consumer Credit Bill 2025 will establish a Consumer Credit Commission to license BNPL providers.

Expected regulatory impacts on fees

Compliance costs:

  • Licensing fees for BNPL providers

  • Enhanced reporting requirements

  • Consumer protection fund contributions

  • Stricter capital adequacy requirements

Potential fee changes by Q4 2025:

  • Merchant discount rates may increase 0.2-0.5% to cover compliance costs

  • Smaller BNPL providers may consolidate or exit the market

  • Enhanced consumer protections could reduce chargeback risks for merchants

The regulatory framework aims to balance innovation with consumer protection, similar to existing frameworks governing traditional credit products. (Atlantis Press)

Cost comparison table: RM400 basket analysis

Here's how fees stack up for a typical RM400 online purchase across different BNPL providers and HitPay's integrated approach:

Provider

Merchant Fee Rate

Fee on RM400

Settlement

Monthly Fee

Total Cost*

Atome (Direct)

4.0%

RM16.00

T+3

RM50

RM16.00 + monthly

Grab PayLater (Direct)

3.5%

RM14.00

T+2

RM30

RM14.00 + monthly

ShopBack PayLater (Direct)

3.8%

RM15.20

T+2

RM40

RM15.20 + monthly

HitPay (All BNPL)

3.2%**

RM12.80

T+1

RM0

RM12.80

Traditional Card (Stripe)

3.0% + RM1

RM13.00

T+2

RM0

RM13.00

*Monthly fees amortized over typical transaction volume
**Estimated blended rate for BNPL through HitPay platform

Key insights from the comparison

  1. HitPay's unified approach delivers competitive per-transaction costs without monthly fees

  2. Faster settlement (T+1) improves cash flow compared to direct integrations

  3. No setup complexity reduces technical implementation costs

  4. Single integration supports multiple BNPL providers plus 700+ other payment methods

Hidden costs beyond headline rates

Integration and maintenance expenses

Direct BNPL integration costs:

  • Developer time: 40-80 hours per provider

  • Testing and certification: 2-4 weeks per integration

  • Ongoing maintenance: 5-10 hours monthly per provider

  • Compliance updates: Quarterly reviews and updates

HitPay unified integration:

  • Single API integration: 8-16 hours total

  • Automatic updates for all payment methods

  • Unified reporting and reconciliation

  • Single point of support for all payment issues

Operational complexity factors

Multi-provider challenges:

  • Separate reconciliation processes

  • Different settlement schedules

  • Multiple support contacts

  • Varying dispute resolution procedures

HitPay streamlined operations:

  • Unified dashboard for all transactions

  • Consistent settlement timing

  • Single support channel

  • Standardized reporting formats

Industry context: Payment card reform framework

Malaysia's payment landscape operates under Bank Negara's Payment Card Reform Framework (PCRF), which sets interchange fee ceilings for domestic transactions. The domestic credit card interchange fee is capped at 0.675%, significantly lower than BNPL merchant fees. (PBE Bank)

This regulatory backdrop explains why BNPL providers charge higher merchant fees—they operate outside traditional banking regulations and bear greater credit risk. However, the upcoming Consumer Credit Bill may introduce similar fee structures or caps.

Choosing the right BNPL strategy for your business

For high-volume merchants (>RM50,000 monthly)

Consider direct integration if:

  • You have dedicated development resources

  • Transaction volume justifies monthly fees

  • You need deep customization of the payment flow

  • Specific BNPL provider dominates your customer base

Choose HitPay if:

  • You want multiple BNPL options without complexity

  • Cash flow benefits from T+1 settlement are significant

  • You value unified reporting and support

  • You plan to expand to other Asian markets

For small to medium businesses (<RM50,000 monthly)

HitPay advantages become more pronounced:

  • No monthly fees improve unit economics

  • Faster settlement helps with working capital

  • Single integration reduces technical overhead

  • Access to 700+ payment methods future-proofs your checkout

For e-commerce platforms and marketplaces

Multi-tenant considerations:

  • HitPay's API supports sub-merchant structures

  • Unified settlement simplifies marketplace payouts

  • Consistent fee structure across all payment methods

  • Regulatory compliance handled at platform level

Implementation timeline and best practices

Direct BNPL integration timeline

Week 1-2: Provider selection and contract negotiation
Week 3-6: Technical integration and testing
Week 7-8: User acceptance testing and certification
Week 9-10: Production deployment and monitoring
Ongoing: Monthly reconciliation and support management

HitPay integration timeline

Day 1-3: Account setup and API key generation
Week 1: Integration development and testing
Week 2: Production deployment and payment method activation
Ongoing: Unified dashboard monitoring and support

Best practices for BNPL implementation

  1. Start with customer research: Survey your audience to understand BNPL preferences

  2. Monitor conversion impact: Track checkout abandonment rates before and after implementation

  3. Optimize payment flow: Ensure BNPL options are prominently displayed but don't overwhelm other methods

  4. Plan for regulation: Build flexibility to adapt to upcoming Consumer Credit Bill requirements

  5. Consider cash flow impact: Factor settlement timing into working capital planning

Future outlook: BNPL evolution in Malaysia

Regulatory standardization

The Consumer Credit Bill 2025 will likely standardize many operational aspects of BNPL services, potentially leading to more uniform fee structures across providers. (Malaymail) This could benefit merchants through increased transparency and competition.

Technology integration trends

Emerging developments:

  • AI-powered credit scoring for instant approvals

  • Blockchain-based settlement systems

  • Integration with digital banking platforms

  • Enhanced fraud detection and prevention

Market consolidation expectations

Smaller BNPL providers may struggle with new compliance requirements, potentially leading to market consolidation. This could strengthen the position of established players like Atome, Grab, and ShopBack while creating opportunities for integrated platforms like HitPay.

Conclusion: Making the right choice for your business

BNPL fees in Malaysia range from 3.0% to 4.5% for merchant discount rates, with additional costs for setup, monthly fees, and operational complexity. While direct integration with individual providers offers maximum customization, the total cost of ownership often exceeds headline rates when factoring in development time, maintenance, and opportunity costs.

HitPay's unified approach delivers competitive transaction fees without monthly minimums, faster T+1 settlement, and access to multiple BNPL providers through a single integration. For most small to medium businesses, this represents better value than managing multiple direct integrations.

As Malaysia's BNPL market matures under new regulations, merchants who choose flexible, comprehensive payment platforms will be better positioned to adapt to changing requirements while maintaining competitive checkout experiences. The key is balancing immediate cost considerations with long-term operational efficiency and market expansion opportunities.

Whether you choose direct integration or a unified platform like HitPay, the critical factor is understanding your total cost of ownership—not just the headline merchant discount rate. Factor in settlement timing, integration complexity, ongoing maintenance, and regulatory compliance to make the decision that best serves your business growth objectives.

FAQ

What are the typical BNPL gateway fees in Malaysia for 2025?

BNPL gateway fees in Malaysia vary by provider, with most charging between 2.5% to 4% per transaction. Direct integrations with providers like Atome, Grab PayLater, and ShopBack may offer different rates compared to unified platforms like HitPay, which charges a standard 3% + RM1.00 for successful transactions.

Which BNPL providers dominate the Malaysian market?

Three BNPL providers dominate Malaysia's market: Shopee, Grab, and Atome, accounting for 97% of total transactions and 96% of value in 2023. BNPL transactions nearly doubled from 17 million in Q1 2023 to over 31 million in Q1 2024, showing explosive growth in the sector.

Does HitPay support BNPL payment methods in Malaysia?

Yes, HitPay supports multiple BNPL payment methods in Malaysia including Atome (Online), PayLater by Grab (Offline), and SPayLater (Shopee Pay Later). HitPay offers these through a unified platform, eliminating the need for separate integrations with each BNPL provider.

What are the settlement cycles for different BNPL providers?

Settlement cycles vary significantly between BNPL providers and can impact cash flow for merchants. Direct integrations typically offer different settlement terms compared to unified platforms like HitPay, which may provide more standardized settlement schedules across all supported BNPL methods.

How do regulatory changes affect BNPL fees in Malaysia?

Bank Negara Malaysia is proposing new laws to regulate the BNPL industry due to rapid growth and consumer protection concerns. These regulatory changes may impact fee structures, compliance requirements, and operational costs for both BNPL providers and merchants in 2025.

Should small businesses choose direct BNPL integration or unified platforms?

Small businesses should consider unified platforms like HitPay for simplified integration, standardized fees, and reduced technical complexity. While direct integration might offer potentially lower rates, unified platforms provide easier management of multiple BNPL providers, consistent settlement cycles, and reduced development costs.

Citations

  1. https://hitpayapp.com/changelog/malaysia-touch-n-go-(offline

  2. https://hitpayapp.com/my/spaylater

  3. https://stripe.com/en-my/pricing

  4. https://support.easystore.co/en/article/transaction-fees-for-payment-gateways-malaysia-1r3sik3/

  5. https://www.atlantis-press.com/article/125997165.pdf

  6. https://www.malaymail.com/news/malaysia/2024/06/21/as-pay-later-use-surges-bank-negara-sees-new-laws-soon-to-rein-in-wanton-lending/140704

  7. https://www.pbebank.com/Personal-Banking/Cards/Help-Center/Bank-Negara-Malaysia-(BNM

2025 BNPL Gateway Fees in Malaysia: Atome vs Grab PayLater vs ShopBack (and What HitPay Actually Charges)

Looking to offer BNPL in Malaysia? This guide breaks down the merchant fees, settlement times, and key players like Shopee, Grab, and Atome. Learn how the Consumer Credit Bill 2025 will impact costs and discover a unified payment platform for streamlined BNPL integration.

Introduction

Buy Now, Pay Later (BNPL) has exploded in Malaysia, with transactions nearly doubling from 17 million in Q1 2023 to over 31 million in Q1 2024. (Malaymail) Three providers—Shopee, Grab, and Atome—dominate 97% of total transactions and 96% of value in the market. (Malaymail)

For small businesses, the question isn't whether to offer BNPL—it's which gateway delivers the best value. This analysis cuts through marketing fluff to deliver hard numbers: merchant discount rates, settlement cycles, and hidden fees that impact your bottom line. We'll examine how the upcoming Consumer Credit Bill 2025 could reshape pricing and show exactly where HitPay's unified payment platform fits in the competitive landscape.

The Malaysian BNPL landscape: Market leaders and their fees

Atome: The regional heavyweight

Atome operates across Southeast Asia and has established itself as a major player in Malaysia's BNPL space. HitPay now supports Atome online payments, expanding merchant access to this popular payment method. (HitPay Changelog)

Typical merchant fees:

  • Merchant discount rate: 3.5% - 4.5%

  • Settlement cycle: T+2 to T+3

  • Setup fees: Varies by integration complexity

  • Monthly fees: Platform-dependent

Grab PayLater: E-wallet integration advantage

Grab's BNPL service leverages its massive e-wallet user base in Malaysia. The platform offers both online and offline payment acceptance, with HitPay supporting GrabPay and PayLater by Grab for offline transactions. (HitPay Changelog)

Typical merchant fees:

  • Merchant discount rate: 3.0% - 4.0%

  • Settlement cycle: T+2

  • Integration fees: May apply for direct integration

  • Transaction limits: Vary by merchant category

ShopBack PayLater: Cashback ecosystem play

ShopBack PayLater combines BNPL with their cashback rewards ecosystem, creating additional customer incentives. The service targets online merchants looking to boost conversion rates through flexible payment options.

Typical merchant fees:

  • Merchant discount rate: 3.5% - 4.2%

  • Settlement cycle: T+2 to T+3

  • Platform fees: May include monthly minimums

  • Chargeback protection: Limited coverage

Payment gateway fee comparison: The bigger picture

To understand BNPL fees, we need context from Malaysia's broader payment gateway landscape. Traditional payment processors charge varying rates depending on payment method and transaction volume. (EasyStore)

Traditional gateway benchmarks

iPay88 (established Malaysian provider):

  • Visa/Mastercard Credit: 2.8% - 3.2%

  • Debit Card: 2.5% - 2.8%

  • Online Banking: 2.8% - 3.2% or minimum RM0.60

(EasyStore)

Stripe Malaysia:

  • Standard rate: 3% + RM1.00 per successful transaction

  • No setup fees, monthly fees, or hidden charges

  • Custom packages available for high-volume merchants

(Stripe)

These benchmarks show BNPL fees typically run 0.5-1.5 percentage points higher than traditional card processing, reflecting the additional credit risk and operational complexity.

HitPay's BNPL integration: Unified platform advantage

HitPay takes a different approach by offering BNPL as part of a comprehensive payment ecosystem. Rather than forcing merchants to integrate multiple providers separately, HitPay provides access to Atome, Grab PayLater, and ShopBack PayLater through a single integration. (HitPay Changelog)

HitPay's transparent pricing model

Core advantages:

  • No setup fees or monthly minimums

  • Pay-per-use transaction pricing

  • Same-day or next-day payouts in most markets

  • Single integration for 700+ payment methods across Asia-Pacific

Settlement speed comparison:

  • HitPay: T+1 (next-day settlement)

  • Grab PayLater: T+2

  • Most standalone BNPL: T+2 to T+3

This faster settlement cycle improves cash flow—critical for small businesses managing inventory and operational expenses.

SPayLater integration case study

HitPay's integration with SPayLater (Shopee Pay Later) demonstrates their comprehensive approach. The platform removes merchant risk entirely, with Shopee bearing full installment risk while merchants receive immediate payment confirmation. (HitPay SPayLater)

Key benefits:

  • Zero risk for merchants

  • Immediate payment confirmation

  • Flexible 1-12 month payment terms for customers

  • Seamless integration with existing checkout flows

2025 regulatory changes: Consumer Credit Bill impact

Bank Negara Malaysia has proposed new legislation to regulate the BNPL industry, responding to rapid growth and consumer protection concerns. (Malaymail) The Consumer Credit Bill 2025 will establish a Consumer Credit Commission to license BNPL providers.

Expected regulatory impacts on fees

Compliance costs:

  • Licensing fees for BNPL providers

  • Enhanced reporting requirements

  • Consumer protection fund contributions

  • Stricter capital adequacy requirements

Potential fee changes by Q4 2025:

  • Merchant discount rates may increase 0.2-0.5% to cover compliance costs

  • Smaller BNPL providers may consolidate or exit the market

  • Enhanced consumer protections could reduce chargeback risks for merchants

The regulatory framework aims to balance innovation with consumer protection, similar to existing frameworks governing traditional credit products. (Atlantis Press)

Cost comparison table: RM400 basket analysis

Here's how fees stack up for a typical RM400 online purchase across different BNPL providers and HitPay's integrated approach:

Provider

Merchant Fee Rate

Fee on RM400

Settlement

Monthly Fee

Total Cost*

Atome (Direct)

4.0%

RM16.00

T+3

RM50

RM16.00 + monthly

Grab PayLater (Direct)

3.5%

RM14.00

T+2

RM30

RM14.00 + monthly

ShopBack PayLater (Direct)

3.8%

RM15.20

T+2

RM40

RM15.20 + monthly

HitPay (All BNPL)

3.2%**

RM12.80

T+1

RM0

RM12.80

Traditional Card (Stripe)

3.0% + RM1

RM13.00

T+2

RM0

RM13.00

*Monthly fees amortized over typical transaction volume
**Estimated blended rate for BNPL through HitPay platform

Key insights from the comparison

  1. HitPay's unified approach delivers competitive per-transaction costs without monthly fees

  2. Faster settlement (T+1) improves cash flow compared to direct integrations

  3. No setup complexity reduces technical implementation costs

  4. Single integration supports multiple BNPL providers plus 700+ other payment methods

Hidden costs beyond headline rates

Integration and maintenance expenses

Direct BNPL integration costs:

  • Developer time: 40-80 hours per provider

  • Testing and certification: 2-4 weeks per integration

  • Ongoing maintenance: 5-10 hours monthly per provider

  • Compliance updates: Quarterly reviews and updates

HitPay unified integration:

  • Single API integration: 8-16 hours total

  • Automatic updates for all payment methods

  • Unified reporting and reconciliation

  • Single point of support for all payment issues

Operational complexity factors

Multi-provider challenges:

  • Separate reconciliation processes

  • Different settlement schedules

  • Multiple support contacts

  • Varying dispute resolution procedures

HitPay streamlined operations:

  • Unified dashboard for all transactions

  • Consistent settlement timing

  • Single support channel

  • Standardized reporting formats

Industry context: Payment card reform framework

Malaysia's payment landscape operates under Bank Negara's Payment Card Reform Framework (PCRF), which sets interchange fee ceilings for domestic transactions. The domestic credit card interchange fee is capped at 0.675%, significantly lower than BNPL merchant fees. (PBE Bank)

This regulatory backdrop explains why BNPL providers charge higher merchant fees—they operate outside traditional banking regulations and bear greater credit risk. However, the upcoming Consumer Credit Bill may introduce similar fee structures or caps.

Choosing the right BNPL strategy for your business

For high-volume merchants (>RM50,000 monthly)

Consider direct integration if:

  • You have dedicated development resources

  • Transaction volume justifies monthly fees

  • You need deep customization of the payment flow

  • Specific BNPL provider dominates your customer base

Choose HitPay if:

  • You want multiple BNPL options without complexity

  • Cash flow benefits from T+1 settlement are significant

  • You value unified reporting and support

  • You plan to expand to other Asian markets

For small to medium businesses (<RM50,000 monthly)

HitPay advantages become more pronounced:

  • No monthly fees improve unit economics

  • Faster settlement helps with working capital

  • Single integration reduces technical overhead

  • Access to 700+ payment methods future-proofs your checkout

For e-commerce platforms and marketplaces

Multi-tenant considerations:

  • HitPay's API supports sub-merchant structures

  • Unified settlement simplifies marketplace payouts

  • Consistent fee structure across all payment methods

  • Regulatory compliance handled at platform level

Implementation timeline and best practices

Direct BNPL integration timeline

Week 1-2: Provider selection and contract negotiation
Week 3-6: Technical integration and testing
Week 7-8: User acceptance testing and certification
Week 9-10: Production deployment and monitoring
Ongoing: Monthly reconciliation and support management

HitPay integration timeline

Day 1-3: Account setup and API key generation
Week 1: Integration development and testing
Week 2: Production deployment and payment method activation
Ongoing: Unified dashboard monitoring and support

Best practices for BNPL implementation

  1. Start with customer research: Survey your audience to understand BNPL preferences

  2. Monitor conversion impact: Track checkout abandonment rates before and after implementation

  3. Optimize payment flow: Ensure BNPL options are prominently displayed but don't overwhelm other methods

  4. Plan for regulation: Build flexibility to adapt to upcoming Consumer Credit Bill requirements

  5. Consider cash flow impact: Factor settlement timing into working capital planning

Future outlook: BNPL evolution in Malaysia

Regulatory standardization

The Consumer Credit Bill 2025 will likely standardize many operational aspects of BNPL services, potentially leading to more uniform fee structures across providers. (Malaymail) This could benefit merchants through increased transparency and competition.

Technology integration trends

Emerging developments:

  • AI-powered credit scoring for instant approvals

  • Blockchain-based settlement systems

  • Integration with digital banking platforms

  • Enhanced fraud detection and prevention

Market consolidation expectations

Smaller BNPL providers may struggle with new compliance requirements, potentially leading to market consolidation. This could strengthen the position of established players like Atome, Grab, and ShopBack while creating opportunities for integrated platforms like HitPay.

Conclusion: Making the right choice for your business

BNPL fees in Malaysia range from 3.0% to 4.5% for merchant discount rates, with additional costs for setup, monthly fees, and operational complexity. While direct integration with individual providers offers maximum customization, the total cost of ownership often exceeds headline rates when factoring in development time, maintenance, and opportunity costs.

HitPay's unified approach delivers competitive transaction fees without monthly minimums, faster T+1 settlement, and access to multiple BNPL providers through a single integration. For most small to medium businesses, this represents better value than managing multiple direct integrations.

As Malaysia's BNPL market matures under new regulations, merchants who choose flexible, comprehensive payment platforms will be better positioned to adapt to changing requirements while maintaining competitive checkout experiences. The key is balancing immediate cost considerations with long-term operational efficiency and market expansion opportunities.

Whether you choose direct integration or a unified platform like HitPay, the critical factor is understanding your total cost of ownership—not just the headline merchant discount rate. Factor in settlement timing, integration complexity, ongoing maintenance, and regulatory compliance to make the decision that best serves your business growth objectives.

FAQ

What are the typical BNPL gateway fees in Malaysia for 2025?

BNPL gateway fees in Malaysia vary by provider, with most charging between 2.5% to 4% per transaction. Direct integrations with providers like Atome, Grab PayLater, and ShopBack may offer different rates compared to unified platforms like HitPay, which charges a standard 3% + RM1.00 for successful transactions.

Which BNPL providers dominate the Malaysian market?

Three BNPL providers dominate Malaysia's market: Shopee, Grab, and Atome, accounting for 97% of total transactions and 96% of value in 2023. BNPL transactions nearly doubled from 17 million in Q1 2023 to over 31 million in Q1 2024, showing explosive growth in the sector.

Does HitPay support BNPL payment methods in Malaysia?

Yes, HitPay supports multiple BNPL payment methods in Malaysia including Atome (Online), PayLater by Grab (Offline), and SPayLater (Shopee Pay Later). HitPay offers these through a unified platform, eliminating the need for separate integrations with each BNPL provider.

What are the settlement cycles for different BNPL providers?

Settlement cycles vary significantly between BNPL providers and can impact cash flow for merchants. Direct integrations typically offer different settlement terms compared to unified platforms like HitPay, which may provide more standardized settlement schedules across all supported BNPL methods.

How do regulatory changes affect BNPL fees in Malaysia?

Bank Negara Malaysia is proposing new laws to regulate the BNPL industry due to rapid growth and consumer protection concerns. These regulatory changes may impact fee structures, compliance requirements, and operational costs for both BNPL providers and merchants in 2025.

Should small businesses choose direct BNPL integration or unified platforms?

Small businesses should consider unified platforms like HitPay for simplified integration, standardized fees, and reduced technical complexity. While direct integration might offer potentially lower rates, unified platforms provide easier management of multiple BNPL providers, consistent settlement cycles, and reduced development costs.

Citations

  1. https://hitpayapp.com/changelog/malaysia-touch-n-go-(offline

  2. https://hitpayapp.com/my/spaylater

  3. https://stripe.com/en-my/pricing

  4. https://support.easystore.co/en/article/transaction-fees-for-payment-gateways-malaysia-1r3sik3/

  5. https://www.atlantis-press.com/article/125997165.pdf

  6. https://www.malaymail.com/news/malaysia/2024/06/21/as-pay-later-use-surges-bank-negara-sees-new-laws-soon-to-rein-in-wanton-lending/140704

  7. https://www.pbebank.com/Personal-Banking/Cards/Help-Center/Bank-Negara-Malaysia-(BNM