Afterpay is a payment solution provider allowing you to divide the total billing value into four installments, facilitating easy payment solutions. Afterpay was bought to service in Australia in 2015 and the US in 2018, and also has expanded its service deliverables scope in Canada and New Zealand. Furthermore, Afterpay services are available under ClearPay in the United Kingdom, Paris, France or Spain.
Users need to qualify for the eligibility process for Afterpay, and once done, they can opt for the benefits of financing options and short-term loans from the platform. The BNPL option is ideal for digital online or physical offline purchases. It allows clearing their pending amount in installment plans at 0% interest rates, where 25% of the total or first installment is deducted at the time of billing. Afterpay charges a late fee if the pending installment still needs to be cleared off by the due date.
$ 1,500 per transaction is the max limit for spending, and a user can hold up to $2000 credit from the platform, and it offers a pay-in-four-plan. Since it is only used for online or offline shopping, the BNPL option cannot be used for bill payments. Afterpay provides customized spending limits to each user, which depends on a range of factors, including –
- Your total Afterpay tenure,
- Availability of funds for the first installment during purchases,
- Pending installments,
- Order value,
- Late installments,
- Number of active orders.
Credit score checks are not a part of Afterpay services and do not affect the eligibility of the portal. However, if the customer does not clear the pending payments on a given time, a negative review for the credit score is sent to the credit bureaus. Security for the payment is also not a hassle with the platform, as they have a PCI DSS Compliant Certificate (Level 1). Some renowned retailers partnered with Afterpay are American Eagle, Forever 21, Ulta Beauty, Gap, Adidas, Bed-Bath and Beyond.
- With Afterpay services, users can divide their payments into four installments, reducing the burden of on-spot payments.
- Installments at Afterpay do not have any interest charges.
- Credit score checks are not part of the Afterpay eligibility criteria.
- Afterpay allows users to shift any one of their installment dates ahead, allowing them to save the late fee costs.
- Afterpay pauses the user’s ID after one missed payment, ensuring safety and transparency and preventing over-expenditures.
- Afterpay rewards all the BNPL users with loyalty or reward points on each purchase, which allows them to delay payments or with other perks.
- Most of the top and most used retailers have already integrated Afterpay, ensuring the safe services of the portal.
Steps to Use Afterpay –
For all those eager to get the benefits of Afterpay, the following steps need to be followed-
- Get the Afterpay app on your preferred device from the Android or Apple store.
- Sign up with your details.
– When done, you can explore the listed items by partnered retailers and shop with the installment option on the parent website.
- The platform offers services for virtual cards, where users can swipe the card with partnered retailers or save it as their digital card for on-site payments.