Imagine a system that enables you to make purchases and pay for them later. Afterpay has got your back. Through this digital payment platform, customers can shop freely without having to worry about making payments on the spot. The most exciting thing is that neither a credit card check nor interest is charged. This service is accessible to thousands of customers worldwide through the Afterpay App.
How can I get started? How does it work? To get answers to all these questions, ensure you stay put until this article’s end.
Afterpay Overview
Afterpay is a subsidiary of American multinational technology company Square Inc., formally known as Block Inc. In 2021 alone, the business generated annual revenue of AUS $924.7 million. With the help of 100,000 merchants, it serves around 16 million consumers worldwide, making it the largest payment source in Australia and New Zealand.
Founded in October 2014, it now operates in Australia, the United Kingdom, Canada, the United States, and New Zealand. The company was listed on the Australian Securities Exchange on May 6, 2016, and was ranked among the top 20 ASX companies by corporate value before the acquisition.
How Does It Work?
Afterpay is extremely easy to use. For online shopping, simply log on to your account and select the particular store from the Shop Directory. Once you are done shopping, choose a payment method at the checkout, and your order will be shipped to your doorstep. For in-store purchases, download the Afterpay app, set up the Afterpay Card with the help of the instructions provided online, and use it to make all kinds of payments.
Payment Method
Afterpay’s BNPL services(Buy Now Pay Later) divide your payment into four equal parts. The first payment has to be made at the time of purchase, while the remaining three can be completed in the span of two weeks. Credit or debit cards are accepted for payment. Afterpay also allows consumers to pay via the website or the app, but the payment must be made before the due date.
Late Payments
Despite all the freedom, Afterpay is quite strict when it comes to late fees. With one missed payment, customers are charged up to $8. If the customer is still unable to pay within the next seven days, an additional $8 dollars will be added to the initial payment. This will continue for each missed week. The last resort is to freeze the user’s Afterpay account, blocking any additional purchases until all the dues have been cleared.
Get Started with Afterpay
Signing up to Afterpay is completely free of charge. To do so, simply enter your email, which will be verified by a code. After completing the process, you will immediately be linked to its vast database. This platform enables you to make purchases all over the world. You can also download the app, available at both the Apple Store and the Google Play Store.
Afterpay Share Prices
In February 2022, Afterpay’s shares were suspended from trading on the Australian Securities Exchange. This decision came following the biggest acquisition of 2022 when Block bought the company. Afterpay’s share price plummeted when finalizing the deal, causing its value to decrease from $39 billion to $22 billion. The reason behind the drop was that the merger was an all-scrip deal – Afterpay shareholders, instead of receiving cash, were given Block shares.
Frequently Asked Questions
Now, let’s answer some frequently asked questions that will assist you in using After Pay.
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How can late payments be avoided?
The following are a few tips that will help you avoid late payments.
- Linking your account with a debit card rather than a credit card is better.
- Plan a fixed budget, so you don’t get low on money when the deadline is near.
- Set reminders; do not wait till the due date. Try to pay before the deadline.
- If you are facing any problems, contact Afterpay immediately.
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How much can you spend with Afterpay?
The initial limit is low but rises as you establish yourself as a reliable and frequent customer. Your payment history also greatly impacts how much you can spend with your account. Paying on time and avoiding declined payments can surely increase the score. The maximum single transaction one can make with Afterpay is $1,500, while for outstanding transactions, it is $2,000.
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Does Afterpay do credit checks?
According to the business’s policy, Afterpay conducts a soft credit check when customers first sign up. That is done to enhance customer experience and ensure the right spending limit. Such a check will in no way affect the credit score.
Afterpay provides an excellent solution for consumers who do not have the money to pay immediately. By dividing the payments, it ensures customers’ financial freedom and well-being. The company’s goal is to create a sustainable ecosystem that is not only accessible but also powers the economy.
To learn more about relevant topics, visit our website, The Australian Time.
