• Afterpay is an app that allows you to pay for purchases over time. Purchases can range from clothing items (such as a $30 t-shirt) to furniture (such as a $2000 bed). The service is offered for free by Afterpay and is accessible to all cardholders. The main difference between Afterpay and other pay later platforms is instant access to your items – whether it be online or shopping in person. You get approval instantly with no other steps involved through the app.
  • The Pulse rewards system allows you to earn rewards every time your Afterpay account makes an installment. You are able to earn points by paying on time, making a purchase, or simply inviting new people to join. You can then spend your points by using them on special deals or cash in for rewards.
  • Afterpay is a modern and innovative way of shopping with credit cards that you should learn to use. This model has grown tremendously over the past few years during times of need. The direction the market is heading towards is slowly eliminating the need for physical credit cards in favor of Afterpay and other similar Buy Now Pay Later services.

What is Afterpay?

Afterpay is one of the more popular pay later platforms right now. It is available as an alternate payment method in many online and physical stores.

It’s a simple, no-frills option: just select it once you’re done shopping and you get your goods instantly. You are given four fortnightly installment payments to pay the total amount.

There are no other requirements or paperwork to access it. Any fees you have to pay will only be from late payments.

Here’s a thorough guide on what this new payment platform is, and how it works.

Afterpay: How its payment system works

The difference between Afterpay and other pay later platforms is instant access to your items. Whether it be online or shopping in person – You get approvals instantly with no other steps involved through the app.

  • Afterpay is a user-friendly pay later system for online and in-person shopping. You just need to sign-up online or through their app. The app will also remind you of notifications regarding your purchases so you can keep track of schedules and spending limits instantly.
  • For online purchases, simply choose it as a payment option, and proceed to checkout. You’ll receive your order afterward just like any online purchase. You just pay the total amount divided into four installments bi-weekly.
  • For in-store shopping, just download the app and create your account. Your purchase will generate a barcode on your phone to scan at checkout, and you’re done.

Additionally, retailers and companies can get Afterpay to be added to their payment options. They are open to connect with new retailers and shop owners.

Main Features

Afterpay focuses on convenience and instant access, giving shoppers an easy payment scheme to follow. Its integration on mobile phones through their apps allows wider use among different types of shoppers. They are mostly a younger market, as well as shoppers who don’t have enough cash for the moment.

  • Available for both online and in-store shopping
  • Widely available from thousands of online vendors and physical stores nationwide.
  • No further fees are included, no interest rates are involved. Only late payment fees are charged.
  • Uncomplicated use – Just choose this option at checkout, and get instant approval upon completion.
  • No need to pry into your credit rating, bad credit history, financial statements, or your need to prove your financial details. As long as you can stick to their payment arrangement, you are good to go.

It is free to use and does not have any interest rates, or any other form of service fees whatsoever. They will only charge for late payment fees, which are $10 for the first instance, followed by $7 again for each succeeding 7 days when still left unpaid.

While Afterpay does need to link to a credit card for payments, their two-week, well-spaced installment plans are easier on the budget for many shoppers. You can also use a debit card instead for flexibility. This avoids any other fees and complications associated with a credit card.

Best of all, in case you do incur late payment fees, it will not affect your credit rating. This is one of the biggest worries for some account holders who’ve had experiences with getting bank loans and credit checks. If you can’t make the next installment, contact them immediately.

The Pulse rewards system

This is Afterpay’s main perk available through their app. Account-holders are eligible when they pay their installments regularly and on time.

The terms are also simplified:

  • You only need 15 on-time payments for purchases of $40 and above in 6 months
  • Make at least 3 on-time payments within 6 months

These are the main rewards you will enjoy as a good standing member:

  • $0 upfront payments: for all items and orders $40 and above.
  • Ability to change and reschedule your payment dates: you can change them 6 times per year.
  • Exclusive deals and offers: You get first dibs on product launches and deals ahead of everyone else, and using Afterpay’s pay-later system as well.

Basic guidelines for use

Afterpay was created with the common shopper in mind: it is highly convenient and widely available. To keep it free and convenient, the company suggests maintaining best practices to avoid common shopping dilemmas you usually encounter when using credit cards for shopping.

  • Shop small: Afterpay works best for smaller purchases and smaller budgets. Prioritise your purchases, keep them and their installments within the budget, and keep these purchases individual.
  • Be on schedule: As long as you pay installments on time, you won’t need to spend extra bucks ever.
  • Regularly check your app: Aside from notifications on those exclusive deals, you are also able to check on your spending limits and your payment schedules. You have the option to pay in advance of your installment date. You’ll remain safe from forgetting the payment, or not having available funds when the payment date arrives.

In the event that that you suddenly experience difficulties in the middle of an ongoing installment, they also have a hardship program to help customers complete their payments. This avoids piling up payments, with no interest rates or late payment fees as well.

Which shops carry it?

Choose from among some of the most in-demand brands and categories that shoppers want and need. They support both the big brands and small businesses nationwide.

Among the world-renowned clients they count in their roster include eBay, Booktopia, Mathers, David Jones, Kmart, Asics, Target, Nike, New Balance, Under Armour, Adidas, Tommy Hilfiger, Rayban, Fury Chef, AV Games, Kogan, Samsung, Office Works, Country Road, Salt & Pepper, Godfreys, Jetstar, Village Roadshow Theme Parks, Webjet Australia, Warner Brothers Movie World, Agoda, Australian Outback Spectacular, Sea World, Sephora, Estee Lauder, Pandora, Swarovski, Michael Hill, Footlocker, Cat Workwear, and many others. This already long list is just a partial preview among numerous brands.

Other businesses can join-in in providing an easy-to-use alternative payment platform. Afterpay’s growing number of shoppers can expand their market. Just simply go to their website and fill-up an application form to become a business partner.