FAQ

What is it? How does it work?

Afterpay’s monthly payment product is a type of installment loan that offers you more flexible ways to pay for high-value orders. Upon approval, a 6 or 12 month interest-based repayment option may be offered. This option provides flexibility to spread out repayment on a monthly basis on items over $400. 

Choose pay monthly to check your eligibility. This won’t affect your credit score

Verify your identity. Confirm your information is correct. You will only have to do this one-time 

Pay Monthly. Choose to pay over 6 or 12 months. Down Payment may be required 

The Pay Monthly option is not available for all merchants. If available, the option to choose”Pay Monthly” will be presented during checkout. Eligibility for the Pay Monthly option requires a soft credit check that has no impact on your credit profile. Please note that until an offer is selected, rates and offers are subject to change. 

Pay Monthly is not available in:

Nevada,West Virginia,Hawaii,New Mexico

How does the APR work with Afterpay monthly payments? 

The term APR (Annual Percentage Rate) is the yearly cost to borrow. Pay Monthly is a simple interest loan with no late fees or an origination fee. The interest accrues daily based on the outstanding principal balance. Please refer to the Truth In Lending Disclosure in the Loan Agreement that will outline the total finance charge. 

Afterpay uses several different factors like your consumer credit report to determine eligibility. Afterpay also uses non-traditional factors, like your repayment history with our Pay in 4 product offering. Your repayment history is useful data to determine your creditworthiness.

How is my APR calculated?

The APR is formulated by several different factors. To determine your creditworthiness we look at information obtained from your credit profile to past payment history with us at Afterpay! 

Where can I shop with Pay Monthly? 

Monthly payments are available to customers in the U.S and offered at select Afterpay merchants online.

Does Afterpay conduct credit checks?

Afterpay may conduct a soft credit check for new customers when they first sign-up to use the platform.  This soft credit check will not impact a customer’s credit score. 

Soft credit checks (also known as soft pulls or soft inquiries) are very common and will not affect credit scores, will not be visible to other lenders or creditors and may or may not be recorded in credit reports, depending on the credit bureau.  

Afterpay takes a number of factors into account when making a decision to approve a new customer, a soft credit check is one of those factors.   

We will also do a credit check if you use the Pay Monthly option while checking out. This is part of the assessment to determine your eligibility for this product, as well as the APR that can be offered.

Why does Afterpay do this? 

Afterpay wants to ensure that we are supporting our customers in making the right financial decision for their circumstance.  Soft credit checks are one of the criteria that we use to ensure that the initial spending limit is right for our new customers.  We want your first experience with Afterpay to be the best for your wallet. 

Do all new customers need to consent to a soft credit check in order to use the Afterpay product? 

Yes, as outlined in our Terms of Service agreement (6.1, 6.2), we ask that you agree with this provision in order for us to best support your financial health.  

Will a new customer be declined due to a consumer report assessment? 

If you are declined due to reasons related to your credit report, rather than fraud, the details will be delivered through the Adverse Notice Message (email received after the decline).  

Will using Afterpay Buy Now, Pay Later feature affect my credit score?  

No.  Afterpay Buy now, Pay Later payments will not affect your credit score, as they are not reported to credit reporting agencies.    

Will soft credit checks from Afterpay affect my credit score?

No, soft credit checks do not affect credit scores.

Can I use Afterpay to order from another country?

You certainly can! 

Afterpay allows you to shop online from your home country with participating New Zealand, Canadian, US, and UK online merchants. 

You can find participating merchants in the “Global Shopping” category within the "All Categories" section in the mobile app. 

Afterpay also converts the price of the goods from the retailer’s home currency to your currency so that you can see exactly how much it will cost you upfront.  Unlike a lot of other international payment providers, we do not charge any other fees on top of the exchange rate so that you know exactly how much the order will cost before you commit to buy.