The Best Buy Now Pay Later (BNPL) Service in Singapore 2022

Buy Now Pay Later trend in Singapore is continuously rising.

Have you used the Buy Now, Pay Later (BNPL) services in Singapore to pay for your online purchases or in-store purchases?

Nowadays, a rising trend of Buy Now Pay Later services which allow customers to pay for their purchases online instantly without paying the upfront costs.

Based on October 2020 survey, an estimated 1.1 million Singaporeans used the Buy Now Pay Later programs. This implies that since 2020 more have been using BNPL services.

Moreover, a recent Buy Now Pay Later Market Report for 2022 projected that the BNPL payments are expected to grow by 52.6% on an annual basis to reach US$ 773.9 million in 2022.

However, if it is your first time meeting the Buy Now Pay Later service, you may be wondering how it works?

Buy Now Pay Later Singapore

What is Buy Now, Pay Later (BNPL) Program in Singapore?

Buy Now Pay Later (BNPL) is a type of short-term financing that allows Singaporean consumers to pay their purchases in interest-free instalments. They can choose to pay for them in a future date. Moreover, there is no need to pay additional charges.

The BNPL service can help with purchases allowing the consumer to split the payments into chosen multiple payments.

How do Buy Now Pay Later Services Work in Singapore?

Credit cards provide a zero-interest instalment plan on your purchases for a long time. This allows buyers to split their payments in multiple instalment plans – it can be three months, six months, twelve months, or up to twenty-four months. They make money by collecting transaction fees for your purchases.

However, with Buy Now Pay Later services, including Atome, Grab Pay later, Rely and Hoolah, they can provide a zero (0%) interest instalment plan without any processing fee or additional charges.

A Buy Now Pay Later service applies only to participating merchants or retailers. A buyer can use the service to split the payment into multiple instalments.

Currently, BNPL service providers do not charge the buyers with transaction fees. On the other hand, they collect transaction fees from their partner merchants.

However, the buyer needs to pay on time, or else you will need to pay a late payment fee. Moreover, it can lead to account suspension until you have made a payment.

Moreover, it is always essential to check the terms and conditions before using the BNPL services.

As you are now familiar with how the BNPL in Singapore works, let us find out the best Buy Now Pay Later services in Singapore by comparing the popular BNPL providers.

Atome vs Grab Pay Later vs Rely vs Hoolah: Which is the Best?

Today, among the popular players in the Buy Now Pay Later Providers in Singapore are Atome, Grab Pay Later, Hoolah, and Rely.

You may be wondering about the Best BNPL service in Singapore. Let us find out by knowing more about each of these services.

Considerations Atome  Grab PayLater Hoolah Rely
Tenure 3 months 4 months 3 months 3 months
Late Repayment Fee S$15 S$10 From S$5 to S$30 depending on order amount From S$1 to S$40 depending on order value
Vouchers Get S$10 on the first online purchase. Find more specific vouchers by checking the app. Get Bonus Grab points by using Grab Postpaid. Check specific merchant vouchers via the app. Discover specific merchant vouchers by downloading the app. Get 10% cashback on first transaction. Find more specific vouchers by downloading the app.
Availability Online and In-store Purchases Online Purchases Online and In-store Purchases Online and In-store Purchases
Atome
Tenure: 3 months
Late Repayment Fee: S$15
Voucher: S$10 on the first
online purchase.  Find more specific
vouchers by checking the app.
Availability: Online and
In-store Purchases
Grab PayLater
Tenure: 4 months
Late Repayment Fee: S$10
Voucher: Get Bonus Grab points
by using Grab Postpaid.
Check specific merchant
vouchers via the app.
Availability: Online Purchases
Hoolah
Tenure: 3 months
Late Repayment Fee: From S$5 to
S$30 depending on order amount
Voucher: Discover specific
merchant vouchers
by downloading the app.
Availability: Online and
In-store Purchases
Rely
Tenure: 3 months
Late Repayment Fee: From S$1
to S$40
depending on the order value
Voucher: Get 10% cashback on the
first transaction. Find more specific
vouchers by downloading the app.
Availability: Online and
In-store Purchases

1. Atome Buy Now Pay Later Singapore

Atome is now one of the most popular BNPL providers in Singapore which can be used for online and in-store purchases from participating merchants. 

How does Atome Instalment in Singapore Works?

Atome Singapore Buy Now Pay Later

Source: Atome Singapore Website

You can use the Atome BNPL services to partner merchants, which you can find here.

With Atome, you can split your payment into an interest-free instalment plan for 3 months.

To use it online, you can find it when you check out at a participating online merchant store. On the other hand, for in-store purchases, you will need to scan and pay using a QR code during your payment.

To get more savings, make sure to download the Atome app. Then, check out specific merchant vouchers. Moreover, get 10% off for your first-time online purchases.

In using Atome, make sure to pay on time. If you fail to repay on time, you will need to pay S$15 for missed repayment to reactivate your frozen account.

Moreover, failure to settle your outstanding balance during the prevailing month can lead to additional S$15 charges (up to a cap of S$30) and suspension of your account.

2. Grab PayLater Singapore

Another popular Buy Now Pay Later service provider is Grab Pay Later in Singapore. You can find it integrated with the Grab App.

How PayLater Work?

Grab PayLater Singapore

Source: Grab PayLater Singapore

Unlike Atome, you can only use the PayLater by Grab on participating merchants (which you can find here) for online purchases.

With Grab PayLater, you can split your interest-free instalment payment for 4 months (this tenure is much longer than Atome).

You can earn bonus Grab points with Grab postpaid. Moreover, earn some vouchers by downloading the app here and checking out specific vouchers on the app. However, you cannot earn Grab rewards with this BNPL service.

Similar to other BNPL providers in Singapore, it will charge an overdue payment fee if you fail to repay on time. You will need to pay S$10 (lower by S$5 than Atome) for every missed repayment and to reactive your suspended account.

3. Hoolah Buy Now Pay Later in Singapore

Another popular BNPL provider in Singapore is Hoolah due to its number of partner merchants.

How Hoolah Buy Now Pay Later Works?

Hoolah Singapore

Source: Hoolah Singapore

You can useHoolah BNPL servicetosplit your payment for online purchases and selected in-store purchases for three (3) months from partner merchants, which you can find here.

Unlike Atome and Grab Pay Later, Hoolah has a varying late payment fee depending on the order amount. For orders below S$99, you need to pay S$5 for every missed repayment. You must pay S$15 for every missed repayment on orders from S$100 to S$999.99.

Moreover, you need to pay S$30 late repayment fee for orders above S$1,000.

You may check out the latest specific merchant promotions by checking it here.

4. Rely Buy Now Pay Later in Singapore

Rely is another popular Buy Now Pay Later provider in Singapore. The same as other BNPL providers in Singapore it allows consumer to pay their online and in-store purchases into multiple interest-free instalments.

How Rely Buy Now Pay Later Works?

Rely Singapore

Source: Rely Singapore

You can use rely for your online and in-store purchases with partner merchants which you can find here. It allows consumer to split the repayment for 3 months or 4 fortnights (every 2 weeks).

However, you have to make sure to repay Rely BNPL on time or else you have to pay from S$1 to S$40 depending on your purchase amount.

You can get a 10% cashback on your first purchase using Rely. Moreover, you can find some specific merchant vouchers by downloading and checking it via the app.

Which is the Best Buy Now Pay Later Service in Singapore?

You may be wondering about the best Buy Now Pay Later Service Provider in Singapore. Is it Atome, Grab Pay Later, Rely, Or Hoolah?

Honestly, there is no single best answer to this question. The Best Buy Now Pay Later Service varies depending on where to purchase (partner merchants), tenure and promotions.

For instance, there is only one available provider from your chosen merchant. You can say that it is the ideal one.

However, if there are multiple BNPL service providers, it best to check the tenure, and recent promotions.

Each BNPL service has different terms and conditions. Make sure that you have understood each of them, especially about the repayments.

Failure to repay on time can lead to paying a late repayment fee plus suspension of your account. If you want to maximise the benefits of a Buy Now Pay Later Solution in Singapore, you have to make sure that you can repay it on time.

Moreover, if you want to save more when using the BNPL services, you have to check out the existing promotions of each provider.

A Word from OMY

Paying in an instalment option using Buy Now Pay Later Program in Singapore can be the answer to your financial needs this time. It can help you improve your cash flow, especially during these challenging times.

You can obtain large purchases split into multiple repayment periods – having affordable repayment amounts.

Moreover, remember that there is no single best Buy Now Pay Later Program in Singapore. Each has a distinct feature that can help you with your purchases.

However, it is essential to remember that you must familiarise yourself with the terms and conditions of the BNPL service. You need to pay on time to get the most benefit from using the Buy Now Pay Later program in Singapore.

Explore more topics at OMY Singapore. Do not forget to subscribe to our newsletter to get helpful insights about personal finance.

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