Fingular secures US$20M debt line to bet on Malaysia’s near-prime borrowers

Fingular, a Kuala Lumpur-based fintech company offering buy now, pay later (BNPL) services, has obtained a US$20 million debt line from Silverstreak Group, a Singapore-based private credit investor. This funding will boost Fingular's near-prime consumer and SME financing in Malaysia, surpassing a total funding of US$50 million. Near-prime borrowers, who fall just below banks' safe lending criteria, have thin credit files, irregular incomes, or past missed payments.

They are creditworthy, but not enough for traditional banks. This debt financing, rather than equity, is crucial for Fingular's operations, as the company earns interest on the difference between what it pays Silverstreak and what its borrowers repay. Fingular provides three types of products: conventional consumer financing, Shariah-compliant micro-SME financing with terms up to 14 months, and AhaPay, a merchant BNPL service with over 2,000 merchants.

Fingular claims to have more than 2.6 million registered users, but it does not disclose active borrowers or credit disbursement figures. The company's capital adequacy ratio now exceeds 25%, and it has been profitable for four consecutive quarters since Q4 2025. Fingular's focus has shifted, with Malaysia as its primary market, as the regulator's new Consumer Credit Act 2025 compliance deadline approaches.

Despite competition from established players like Shopee and Atome, Fingular's unique dual conventional and Shariah products, QR-linked merchant BNPL, and micro-SME loans give it an advantage.