Get ready for some rules of courtship, Singapore BNPL lovers! A new code of conduct for the “Buy Now, Pay Later” industry is set to take effect on the city-state’s dating scene.
As of November 1st this year, BNPL players will need to comply with this new set of guidelines for protecting consumer hearts and ensuring responsible lending practices. Then by March 2024, they’ll have to be officially accredited and committed – so no more playing the field!
Even new BNPL debutantes will have to follow the same process before offering services. No more sneaking onto the scene unvetted!
The code was created last October by the Singapore FinTech Association and some steadfast BNPL partners, with guidance from the Monetary Authority of Singapore.
What Does the Code Entail?
It includes six checks on creditworthiness, transparent fees, ethical marketing, voluntary exclusion options, and assistance for financial woes. You know, all the hallmarks of a healthy relationship!
BNPL firms will also share credit info through Experian’s private bureau. And an oversight committee will monitor adherence to the code – no cheating allowed!
How Compliance is Ensured?
For extra assurance, companies will undergo an audit by an independent assessor, with PwC conducting the first round. Compliant firms will get a trust valid for 3 years – like a relationship merit badge!
So no more playing the field, Singapore BNPLs! Time to commit and treat consumers right. Congrats on maturing into ethical lending practices.
