Shopee Raises SPayLater Seller Fee to 4.5% Starting May 8

Shopee has announced that, beginning May 8, 2025, the seller transaction fee for orders completed using its "Buy Now, Pay Later" option—SPayLater—will increase from 3.5% to 4.5%. This change applies across all SPayLater installment plans, regardless of the repayment duration. The platform has not disclosed a specific reason for the fee adjustment.

SPayLater is Shopee's installment payment option, allowing customers to purchase items immediately and pay over time, with terms ranging from one month to 24 months. Currently, consumers only incur fees when choosing repayment periods of six months or longer. However, sellers are charged a service fee upon order completion, regardless of the buyer's installment length.

In addition, the new 4.5% fee is subject to Malaysia's 8% Sales and Service Tax (SST). Sellers are not given the option to disable SPayLater payments—the payment method is automatically enabled by the platform.

Shopee has positioned SPayLater as a tool to help merchants boost transaction volumes, improve product visibility, and offer buyers more flexible payment methods. Still, the fee hike has sparked frustration among sellers. Loh, a merchant specializing in power tools, noted that the increasing operational costs on Shopee are one of the main reasons he’s been moving away from the platform. He even had to hire dedicated staff just to manage his Shopee store due to the platform's growing complexity.

This isn't the first time Shopee has increased fees. In August 2024, the platform raised transaction fees from 2.0% to 3.5%, prompting similar backlash. Some sellers in Shopee communities questioned why sellers—not buyers choosing SPayLater—should bear the cost. Others suggested increasing product prices to offset the additional charges.

Amid the controversy, Shopee introduced a Special SPayLater Program, offering select sellers reduced program fees. Under this initiative, effective May 8, merchants offering a 3-month installment plan will pay no additional program fee, while those offering 6-month plans will only be charged a 2% program fee. The goal is to encourage 0%-interest offers on installments up to 6 months to attract more buyers and increase marketing exposure for sellers.

It's important to note that participation in this Special SPayLater Program does not exempt sellers from the base 4.5% SPayLater transaction fee (excluding SST). Instead, it waives or reduces the separate program fee. This initiative is currently available only to selected sellers, though Shopee has stated plans to expand eligibility in the future.

Once enrolled, all SPayLater-eligible products in a seller's store will automatically adopt the program terms. There is no option to apply the program selectively to specific items.

Sellers who do not join the program can still accept SPayLater payments but won't benefit from the reduced program fees or extra traffic support. The program can be toggled on or off at any time via the Shopee Seller Center. Once deactivated, future orders will no longer be charged special program fees.

Shopee also clarified that in the event of payment default by buyers, sellers will still receive full payment after the order is completed, as per Shopee's service policy. The repayment risk is borne by Shopee's financial arm, SeaMoney.

Sellers are encouraged to review transaction and fee details through the Shopee Seller Center's order history, income statements, and tax invoices to better manage their operating costs.

At Forest Shipping, we understand the evolving challenges Shopee sellers face—from rising platform fees to cross-border fulfillment complexities. That's why we offer reliable, cost-effective shipping solutions from China to third-party countries, helping you scale smoothly across Southeast Asia and beyond.