Amazon Buy Now, Pay Later: What You Need to Know


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Amazon, the leading e-commerce retailer in the United States, raked in $469.8 billion in 2021, more than 22% more than the previous year, and is now the sixth largest company in the world.

It makes sense that one of the world’s biggest brands would have its own credit cards, but the company doesn’t stop there; it also allows buyers to delay paying for a purchase in full through its “buy now, pay later” service and pay their bill in installments. Let’s take an in-depth look at what you need to know about Amazon BNPL, including how it works, how to use it, and when it’s a sensible payment method.

What is Amazon Buy Now, Pay Later and how does it work?

Amazon’s BNPL service, also known as Amazon Monthly Payments, allows customers who shop on the site to pay for certain products over a period of five total payments. Buyers are automatically charged an upfront payment — typically 20% of the total order price on eligible merchandise plus any additional charges such as taxes and shipping — and can pay the remaining balance in monthly installments at over the next four consecutive months.

Only certain items are eligible for Amazon’s BNPL service and buyers must spend at least $50 per order to qualify.

What products can I buy with Amazon Buy Now, Pay Later?

There is a wide range of products that will be eligible, but here is an overview of the products that are not eligible for Amazon’s BNPL service:

  • Digital products and content
  • Out of stock items, even if marked as “coming soon”
  • Gift Cards
  • Amazon Prime subscriptions, subscriptions and savings and recurring delivery orders
  • Grocery items
  • Prescription drugs
  • Vehicles
  • Coins
  • Collectibles
  • Items purchased from a retailer other than Amazon

Who Qualifies for Amazon Buy Now, Pay Later?

Your eligibility to use Amazon’s Monthly Payments depends on your purchase history on the site, product price, and other account details. Amazon’s site does not specify what these other account details are. In addition, potential monthly payment users must confirm that they are not using monthly payment for business purposes. You may only use monthly payments for personal, family or household purposes.

Amazon does not use a credit report to determine eligibility to use its BNPL service.

In addition, Amazon can refuse whoever it wants.

Should I use Amazon’s Buy Now, Pay Later monthly payments?

Other than having an active Amazon account and a work card on file, there’s really nothing stopping you from using monthly payments.

But monthly payments come with a lot of restrictions, namely the large list of products that aren’t eligible for the service and the fact that Amazon can limit the number of open orders you have with it. Additionally, you must spend at least $50 on eligible items to even benefit from the monthly payments feature. These are all issues that make the service less appealing.

But whether you should use Amazon Monthly Payments — or any other BNPL program — is a separate question that requires a personal financial examination of your spending behaviors and, dare we say, a bit of self-reflection. If you know you have a spending problem or you have significant consumer debt, like 30% of people in the US, then BNPL options in general may not be a good idea, as they could be considered a method of procrastination, or a means of delaying a payment for which you have no funds in the bank.

That said, Amazon doesn’t charge APR like credit cards do, so if you’re trying to stop using or limit the use of credit cards, Amazon Monthly Payments might be a smart choice because you can use it. to use without the headache of interest.

The service also automatically deducts payment from your card on file, so you don’t have to worry about remembering to pay the bill, but you do have to worry about paying the bill for the credit card on file in your account.

What makes Amazon Buy Now, Pay Later special?

Amazon’s BNPL Monthly Payments program stands out from other financing options that users can access, such as Amazon store cards and credit cards that are associated with Amazon for benefits. All of these options are fairly common credit cards that tout traditional repayment plans that can come with a hefty portion of interest or APR.

Additionally, Amazon Monthly Payments allows you to pay the full amount in five installments which is unique and you can pay off your balance with an Amazon credit card and potentially get additional benefits that way.

BNPL programs are experiencing a major growth spurt, especially among younger consumers. If you want to get in on the action and you’re already an avid Amazon customer, Amazon’s BNPL Monthly Payments financing plan could be a great place to start.


  • Where is the monthly payment option on Amazon?
    • You can find the option to make monthly payments on the product detail page as well as in your options during checkout. Remember that many items on Amazon are not eligible for this payment method.
  • Are there any spending limits?
    • No spending limit is mentioned, but Amazon may limit the number of purchases you have opened with the monthly payments.
  • Does Amazon accept Afterpay or Klarna?
    • Amazon does not accept Afterpay, but does accept Klarna for financing.
  • What happens if my registered card is declined?
    • If your registered card does not pass, Amazon may suspend or terminate your account. It can also unregister your Amazon device, which will block access to all Amazon content and services from that device. You will likely also be charged a late fee.
  • Does Amazon charge any additional fees or interest for Buy Now, Pay Later?
    • Amazon does not charge consumers interest or additional fees for using its BNPL service, but taxes may apply in some jurisdictions.

Information is accurate as of August 15, 2022.

Editorial note: This content is not provided by any entity covered by this article. Any opinions, analyses, criticisms, evaluations, or recommendations expressed in this article are those of the author alone and have not been reviewed, endorsed, or otherwise endorsed by any entity named in this article.

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About the Author

Nicole Spector is a writer, editor, and author based in Los Angeles via Brooklyn. Her work has appeared in Vogue, The Atlantic, Vice and The New Yorker. She is a frequent contributor to NBC News and Publishers Weekly. His 2013 debut novel, Fifty Shades of Dorian Gray, received rave reviews from Fred Armisen and Ken Kalfus, and has been published in the US, UK, France and Russia – well let no one know what happened with the Russian edition! She has an affinity for Twitter.


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