What is AfterPay?
Basically, it is a credit facility, which consumers can choose to use when checking out from your store. They can choose to purchase their items using AfterPay – and the cost of the item is split over four equal payments that are due each fortnight.
As long as payment is made on time, there is no fee for this service to shoppers.
Why would I offer it as a retailer?
As a retailer, the sale is processed immediately at the checkout, and you process the order just as you would with any other transaction.
That’s it. AfterPay settles the transaction directly with the retailer and all the credit risk and administrative process is handled on their end.
This innovative way of providing credit and breaking an item up into smaller transactions is having visible impacts on the way people shop and a great way to increase the average value of a transaction.

How much does AfterPay cost?
For the consumer, there is no charge for the AfterPay service, as long as payments are made on time.
For merchants, there is a $0.30 fee per transaction, plus around 4-6% charged for processing each AfterPay transaction. The rate depends on the volume and value of orders through your store. Although this is higher than standard credit card charges, depending on your circumstance, the benefits may well offset these fees.

Which stores offer it?
There are thousands of retailers using AfterPay, including these featured brands:

Is it fair for consumers?
With Australian household debt at an all-time high, there are understandable concerns about adding another source of credit for potentially vulnerable customers.
Fortunately, AfterPay are committed to responsible spending and implement a series of limits and credit checks on their process.
How do I implement it?
If you have a Shopify store, implementation is easy. You can sign-up for an AfterPay account, and link to it directly from the ‘Payments’ page in your Shopify store settings.

But it’s important to update the front-end of your website to let your customers know that you offer After-Pay – particularly on your product pages when people are considering adding an item to the cart.