Using a traditional (conventional) money demand function with gross domestic product (GDP) and interest rate (IR) as conventional determinants of the demand for money, effective exchange rate and payment instruments (including credit card, charge card, debit card, e-money dominated by CRC, CHC, DEC and EMO, respectively) as financial variables based on monthly data from 2010M1 to 2018M12,  we will attempt to answer key questions as follow: 1) if demand for money in Malaysia is stable, 2) if it is stable, estimating short-run and long-run coefficients of the variables that are used as proxies for the financial innovations, and 3) obtaining the speed of adjustment towards long-run equilibrium. According to the results from ARDL model, charge card, debit card and e-money negatively impact money demand in the short-run while money demand is positively impacted by the credit cards in short-run. The magnitude of these effects are very small. In the long-run, however, charge cards and credit cards have negative effect on money demand while debit cards and e-money have positive effect on money demand. The magnitude of the long-run effect of payment instruments are significantly higher than the magnitude of the short-run effect meaning that long-run effects of payment instruments are much more than their short-run effects. Also, the obtained speed of adjustment from this model implies that a relatively small portion (nearly 5.8%) of disequilibrium between money demand and independent variables is corrected within one period.