Amazon pay later facility: What is it, how does it work, eligibility for Amazon pay later

Amazon Pay Later allows you instant credit on your purchases. Find out what this offer is all about.

Decoding the Amazon Pay Later offer

E-commerce giant Amazon has rebranded its EMI facility and entered the BNPL (Buy Now Pay Later) market. The company is offering its Amazon Pay Later service to customers so that they can navigate a cash crunch and pay for their purchases at a later date. Let’s understand this offer in more detail:

What is Amazon Pay Later?

Amazon Pay Later is an instant credit facility that you can avail of when you shop on Amazon. With this facility, you can buy goods and then pay for the next month or in instalments over 3 to 12 months.

How does Amazon Pay Later work?

To avail of the Amazon Pay Later service, you need to register for the same with Amazon. Once registered, you can opt for this facility when you check out and are directed to the payments page. You can choose to pay for your purchases in bulk the next month. In this case, no interest is charged on your payment. Alternatively, you can convert your purchases into affordable EMIs. 

Related: Know Your EMIs In-And-Out. Are You Paying More Than You Should?

The EMI facility is available from 3 months to 12 months, depending on your purchase value. Your credit score is checked by credit bureaus to determine the limit and also to assess if the pay later facility would be allowed. There is, usually, no processing fee.

There is no interest charged for using the Buy Now Pay Later Platform of Amazon Pay Later. However, there would be an interest component if you use the EMI option for 3-12 months which would be displayed to you at the time of opting for the same; which would be shown on the dashboard.

For example, for cart values ranging from Rs 3000 to Rs 30,000, you are allowed tenure of 3 months to repay your debt. For values ranging from Rs 6000 to Rs 60,000, the tenure allowed is 6 months. For values of Rs 9000 onwards, you can choose a repayment tenure of 9 months or 12 months.

The maximum credit limit that is available under the Amazon Pay Later service is Rs 60,000. The actual limit that you can avail of depends on your eligibility criteria and spending habits.

What is the eligibility for Amazon Pay Later?

Here are the eligibility criteria to avail of the Amazon Pay Later facility:

An active Amazon account with a verified mobile number
A valid PAN 
Active bank account with any one of the specified banks
Age 23 years and above
Valid address proof

Also Read: Love Shopping? Here Are 5 Credit Cards Tailored For Women Shoppers

How does one activate Amazon Pay Later?

One has to complete the KYC formality to activate the Amazon Pay Later service. There are four options to complete the KYC. Choose an option and follow the steps. Once your KYC formality is done, the account will become active.

Pros and cons of Amazon Pay Later

Also Read: How Google Pay Allows You To Make Purchases Without Using Your Credit Card

Now that you have understood what Amazon Pay Later is all about, the next time you shop on Amazon, you can use the facility if you find it useful.


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