What is Pay Monthly?

Pay Monthly is a way to spread the cost of qualifying purchases between $49 - $10,000 USD into fixed monthly payments over terms ranging from 3 to 24 months, available to eligible customers during online checkout. Terms and rates vary based on purchase amount and your credit.

Pay Monthly is an interest-bearing installment loan issued by PayPal’s bank partner, WebBank, with a fixed APR ranging from 9.99% - 35.99 % based on creditworthiness. Lower APRs may be offered as a promotion from time to time and are subject to eligibility and the terms of the offer.

Pay Monthly isn’t available for certain merchants & goods and may not be available for subscriptions or recurring payments. New and existing PayPal customers can take advantage of Pay Monthly (eligibility varies by user, state, merchant, etc.).

How can I pay with Pay Monthly?

If eligible, Pay Monthly is available to PayPal customers online at checkout for millions of merchants where PayPal is accepted and is subject to consumer credit approval. Eligibility varies and availability depends on your state of residence. You must also be at least 18 years of age (or the age of majority in your state) to apply and have a PayPal account in good standing (or open a PayPal account) to apply.

Pay Monthly can be used only for a single purchase transaction. Each time you wish to use Pay Monthly to finance a transaction, you must apply for a new Pay Monthly installment loan.

You'll be taken through the application process if you choose it as your payment method when you check out. You’ll receive a decision within seconds, but not every application will be approved. Eligibility will vary from merchant to merchant and purchase to purchase.

What are the terms of my Pay Monthly installment loan?

• Once approved, you will be shown a WebBank Truth in Lending Disclosure Statement and Pay Monthly Loan Agreement detailing the terms of your Pay Monthly installment loan, including the APR, estimated monthly payment schedule, and other important terms.
• The first loan payment is due one month after the merchant processes your order. Your Loan Agreement will reflect a payment schedule based on your order being processed the same day your loan is approved. If processing takes longer than that and the payment schedule changes after the Loan Agreement is provided, an updated payment schedule is sent via email. Please note that you cannot change your payment due dates.
• Payments can be made manually or through autopay using a confirmed bank account (ACH) or debit card. Your PayPal balance can only be used for manual repayments. Credit cards aren’t accepted as a repayment option.
  
• Pay Monthly installment loans aren’t recommended on backordered items.
  
• Multiple Pay Monthly installment loans are allowed subject to eligibility and approval.
  

How is my Pay Monthly payment calculated?

Payments include both principal and interest and are payable as fixed monthly installments across the term of your loan according to the payment schedule that was provided to you.

Where can I view my Pay Monthly installment loan details?

You can find them in the PayPal App by clicking Pay Later or on your desktop by clicking Pay Later under the “Wallet” section. There, you can view the balance, payment schedule, and transaction details. You can also make payments, set up autopay, change your payment method used for payments, and more.

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. They usually ship as soon as products/merchandise are ready versus holding the entire order while waiting on the full order to be prepared. Your Pay Monthly installment loan 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 installment loan will be equal to this amount.

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

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

Your approved Pay Monthly loan is valid for that specific shopping session in which it was granted. If you change the payment method during checkout and don’t switch back to Pay Monthly, your purchase will be charged to that changed payment method. In addition, if you experience a disruption in your session (internet glitch or session timeout) the approval may become invalid. In that case you would need to re-apply to use Pay Monthly for a transaction.