Afterpay is one of the most innovative new payment methods that you can offer to your customers. It is free to use and has a spending limit of $800. But what is it exactly, and how does it work?
Afterpay is a service that allows customers to “buy now, pay later”, and it divides the cost of a single transaction into four equal fortnightly installments. On the day of purchase, your customer will pay only 25% of the total amount. They will then pay three subsequent installments each fortnight, with their last payment being deducted six weeks after the initial purchase.
In order to use Afterpay, your customers need to be older than 18, live in Australia and have a debit or credit card. Once they sign up at www.afterpayit.com.au, they need to enter the amount they want to allocate for spending via Afterpay, and their card information. The customer will be approved instantly and receive a unique barcode for payment at the register. For security, every barcode that a customer generates is valid for 12 hours and it can be used only once.
What Happens if A Customer’s Afterpay Purchase is Declined?
In order to use Afterpay as a payment method, customers need to have at least 25% of a transaction’s purchase price available to spend in their nominated account. When a customer is declined, first check if they fulfill the three criteria required to use Afterpay. If everything checks out but there is still a problem, refer to Afterpay’s help section and customer service for assistance.
Test Afterpay before rolling it out
Before you introduce Afterpay as a payment option for your customers, it’s a good idea to register yourself and run through the process, so that you will be able to advise your customers better. Visit the registration website and generate your own barcode to experience how paying for a purchase with Afterpay works.
Afterpay is Safe and Secure
Afterpay understands how important security is to both businesses and customers, and so guarantee that your personal information is protected. Afterpay is a PCI DSS Level 1 certified compliant Service Provider organisation. PCI DSS is a comprehensive set of requirements created by the Payment Card Industry Security Standards Council to enhance cardholder data security and to ensure the safe handling and storage of sensitive credit card information and data.
For more information, you check out the Afterpay help page.
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