What is Pay Monthly?

Pay Monthly lets eligible customers spread the cost of larger purchases — between $500 and $15,000 AUD - over 12, 18 or 24 instalments when checking out online with PayPal.

You'll pay a fixed annual percentage rate on what you borrow, with approximately the same monthly instalment amount, so there are no surprises — plus, no account fees and no late fees.

You'll need to apply and be approved each time you want to use Pay Monthly. Once approved, your monthly repayments are automatically taken from your nominated bank account or debit card, and you can make extra repayments or pay your plan off in full at any time at no extra cost.

How do I apply for Pay Monthly?

Pay Monthly is available directly in the PayPal checkout at the point of purchase — you apply in checkout and get a decision in real time, before you finish paying. There's no separate sign-up, and you'll apply each time you want to use Pay Monthly.

For Pay Monthly to appear at checkout, you and your purchase need to meet our eligibility criteria — for example, your PayPal account is in good standing, your purchase is between $500 and $15,000 AUD, and the goods aren't in a restricted category (such as gambling).

Where can I use Pay Monthly?

Pay Monthly will appear as a payment method for eligible accounts and shopping cart values between $500-$15,000 AUD when you check out with PayPal.

Pay Monthly is not available at all merchants, for all goods, and for certain recurring subscription services.

What are the terms and conditions for my Pay Monthly plan?

Your Pay Monthly plan will have a fixed APR, and you'll repay it in 12, 18, or 24 instalments — whichever plan you select when you apply.

Repayments are made automatically from your nominated bank account or debit card, and you can make additional repayments or pay your plan off in full at any time without extra charges. Pay Monthly has no account fees and no late fees — you'll only pay the principal and interest.

You'll see the full terms in the Pay Monthly Agreement when you apply, and you can view your Agreement, repayment schedule, and amounts any time by logging in to PayPal on the web or in the app.

How is my Pay Monthly payment calculated? 

Payments include both principal and interest and are payable as fixed monthly instalments over the term of your plan, in accordance with the payment schedule provided to you when your plan was approved. You can check your plan's progress, remaining balance, and upcoming payment schedule any time by logging in to PayPal on the web or in the app.

How long will my Pay Monthly plan last?

Your plan will last for the number of instalments you selected when you applied — 12, 18, or 24 instalments. You can also pay your plan off in full at any time without extra charges or log in to PayPal to check how many instalments you have left.

What currencies are accepted?

Pay Monthly plans are always set up in Australian Dollars (AUD), but you can still use Pay Monthly for purchases in other currencies that PayPal supports. If your purchase isn't in AUD, PayPal will convert the amount to AUD at checkout, and your Pay Monthly plan will be based on that AUD amount. Currency conversion charges will apply as set out in your PayPal User Agreement and our Combined Financial Services Guide and Product Disclosure Statement.

Why could I use Pay Monthly before, but can’t now with the same merchant?

Pay Monthly availability will vary by merchant and individual shopping experience. If the offer does not appear as a checkout option, there could be a few reasons, such as the goods and/or services you are purchasing not being eligible for Pay Monthly, or changes in our eligibility criteria.

Pay Monthly will be displayed if it is available for that purchase.

How will my Pay Monthly transaction appear within my PayPal account?

Every Pay Monthly transaction will appear in your activity feed for the full purchase amount, listed under the seller's name as a "purchase" in your PayPal account. This reflects the initial total purchase and is not indicative of the Pay Monthly instalment plan or any payments you have made. PayPal pays the seller upfront for the transaction and spreads that cost over instalments, automatically withdrawing funds via your PayPal account based on the payment schedule agreed in your Pay Monthly Agreement. The first payment and subsequent repayments will each be reflected as separate transactions in your PayPal activity feed and will represent actual repayments made.

Where can I view my Pay Monthly instalment plan details? 

You can find your plan details any time by logging in to PayPal — on the web or in the app. There, you can view your balance, payment schedule, and transaction details. You can also make extra payments, change your payment method used for automatic payments, and more. 

Can I add to an existing Pay Monthly plan?

No. Every Pay Monthly plan is a fixed, closed-end loan covering a single purchase — the amount, term, and payment schedule are set when you apply and can't be changed or topped up later. If you want to make a new purchase using Pay Monthly, you'll need to apply for a separate plan at checkout.

When does my Pay Monthly plan start?

Your purchase will appear in your PayPal Activity straight after you complete checkout, but your Pay Monthly plan will show as pending until the merchant captures the payment (usually when they process or ship your order). Your plan officially starts once the merchant captures the payment.

What if my Pay Monthly purchase contains multiple items and the merchant processes/ships items at different times?

Merchants sometimes process and/or ship your order in multiple packages at different times. When this occurs, it’s usually because they want to ship as soon as products/merchandise are ready, versus holding the entire order while waiting for the full order to be prepared. Your Pay Monthly instalment plan won’t start accruing interest until the first item is processed and/or shipped. This item will appear in your PayPal Activity, and the outstanding balance of your Pay Monthly instalment plan will be equal to this amount. 

If additional items are processed and/or shipped later, each item will be listed in your PayPal Activity, and your plan’s outstanding balance will be updated accordingly. If this affects your outstanding plan balance and monthly payment amount, you will receive an updated payment schedule via email, and you will see the changes when you access your Pay Monthly plan in the PayPal app or online. 

Why was my Pay Monthly approval not used for my completed purchase?

Your Pay Monthly approval is valid for that specific shopping session in which it was granted. If you change the payment method during checkout or experience a disruption in your session (an internet glitch or a session timeout), the approval may become invalid. In that case, you would need to reapply to use Pay Monthly for a transaction.