Finder is committed to editorial independence. While we receive compensation when you click links to partners, they do not influence our content.
What to know about Afterpay, Zip Pay, Zip Money and your credit score
Do interest-free payments affect your credit rating?
Interest-free payment providers such as Afterpay, Zip Pay & Zip Money have been invading the retail payments space. These new fintech companies offer you a way to purchase an item and pay it off in instalments, similar to a layby. However, in true fintech fashion, these products are not like traditional forms of credit.
This is what you need to know about how products like Afterpay can potentially affect your credit score. If you default on a payment, the default can be reported to the relevant Credit Reporting Body which lowers your credit score.
|Payment provider||Do they do a credit check?||What do their terms and conditions say?|
|Zip Money|| |
*From Afterpay’s Terms of Service
**From Zip Pay’s Help
***From Zip Money’s Help & FAQs
Before you apply for any of the “new ways to pay“, make sure you consider whether you can afford the repayments and the effect it may have on your credit score.
More guides on Finder
Gorman discount codes and coupons November 2020 | Further 20% off store-wide
Gorman is a well-known Australian fashion brand for women that offers clothing, accessories, shoes and homewares with free shipping on orders over $250.
Afterpay flights and travel guide
Everything you need to know about Afterpay for travel.
Where to book accommodation with Afterpay
Secure your accommodation with interest-free Afterpay payments. Here’s how.
Safeguarding your credit score during the coronavirus outbreak
Answers to questions about how coronavirus-related events could affect your credit score and how to protect it.
All you need to know about using Zip
Being able to spread the cost of large purchases over a period of time is certainly appealing. By using Zip Pay you can get your items straight away and pay just 25% each fortnight.
Interest-free finance providers
Interest free finance could be a potentially beneficial way to defer expenses or split them into smaller amounts at no extra cost. Find out exactly how buy now, pay later works and what interest-free options are available.
Compare credit card debt consolidation loans
Learn how to pay off credit card debt faster and possibly with a lower APR. Find out if credit card consolidation hurts your credit score.
Review: TransferWise money transfers
TransferWise is an easy way to send money across borders.
How to pay your tax bill by credit card
Paying your tax bill by credit card is a convenient option that can earn you more rewards. Read this guide to find out how to make an ATO payment with your card and discover the terms, conditions and fees that may apply.
Institutions that allow joint account credit cards
Learn which credit card issuers allow joint-account credit card applications so you can decide if this option is right for you.