Buy-now-pay-later (bnpl) services have become very popular over the last couple of years as an alternative to credit card purchases. PayPal now offers 2 forms of buy-now-pay-later payment plan options that are available at millions of online stores. PayPal Pay in 4 (every two weeks) and PayPal Pay Monthly (up to 24 monthly payments).
So, if you have heard about PayPal Pay in 4, but can’t find the feature on your account, you are probably wondering why. I looked into PayPal Pay at 4, and here is what I learned!
Why Is “Pay in 4” not Showing up on PayPal?
There are two reasons why PayPal Pay in 4 isn’t showing up on your PayPal account. The first reason is because PayPal may have already done an “internal check” on your account, and decided not to offer it to you yet. The second reason is because Pay in 4 is not available in every state yet. Keep in mind that Pay In 4 is only available for eligible purchases. While most products are eligible, the purchase amount must be between $30 and $1,500 to qualify.
You should continue reading if you’re interested in learning more about how PayPal Pay in 4 works.
Why Is PayPal Pay in 4 Not Showing Up?
PayPal is currently only offering Pay in 4 to some of its US users. However, that number is slowly growing. Pay in 4 availability depends on the state you live in.
Currently, Pay in 4 is not available in Missouri, New Mexico, Nevada, North Dakota, South Dakota, Wisconsin, and U.S. territories. Note, this is subject to change as PayPal expands its offer availability.
Unfortunately, if you live in any of these states or territories, you’ll have to wait for PayPal to expand the Pay in 4 services.
Furthermore, if you live in a state where Pay in 4 works, but don’t see the feature, it may be because PayPal already did an “internal check” on your account.
During this check, based on your past usage and history, PayPal may have decided it wasn’t “suitable” for you at this time.
How Does PayPal Pay in 4 Work?
PayPal Pay in 4 is another buy-now-pay-later feature that allows you to split your purchase into 4 interest-free payments.
With this payment method, you make your first payment at checkout (down payment), and the next 3 payments are made every 2 weeks.
Furthermore, Pay in 4 is available for purchases with a transaction amount between $30 to $1,500. However, Pay in 4 is currently only available for online payment, so you can’t use it in-store yet.
To use Pay in 4, use the following method:
- Select Pay in 4 at Checkout: When making online purchases at participating online retailers, you can choose to pay with PayPal and select the Pay in 4 option during the checkout process.
- Check Eligibility: PayPal may run a quick eligibility check to determine if you qualify for Pay in 4 based on your creditworthiness.
- Pay in Four Installments: If approved, your purchase will be divided into four equal payments. You’ll make an initial payment at the time of purchase, and then three more payments will be automatically deducted from your linked payment method (PayPal balance, bank account, etc.) every two weeks.
- No Interest: One of the key benefits of Pay in 4 is that there are typically no interest charges associated with this service. However, if you miss a payment, late fees may apply.
- Responsible Use: It’s important to use PayPal Pay in 4 responsibly and ensure that you have enough funds in your linked account to cover the scheduled payments. Late payments can lead to late fees and potentially affect your credit.
Please note that when applying, a soft credit check may be needed, but will not affect your credit score. You must be 18 years of age or older to apply and have a US bank account and residential address.
How Can I Get Approved for PayPal Pay in 4?
To get approved for PayPal Pay in 4, you first have to apply for it.
The application process for Pay in 4 involves having the feature available in your state, as stated previously, and having an active PayPal account that’s in “good standing.”
Furthermore, if you have the option to apply in your state, you can apply through the PayPal app or PayPal.com, or at checkout.
You can apply here for Pay in 4 through PayPal.com or the app.
To apply for PayPal Pay in 4 at checkout, do the following:
- Start by choosing PayPal as your payment method at checkout
- If your transaction is eligible for Pay in 4, it will show up at checkout
- Second, tap “Pay Later”
- Next, select Pay in 4, and enter any information needed
- After, you will get an instant decision
- If you’re approved, you need to make your first payment to finish checking out
- Last, you’ll make the remaining 3 payments every two weeks in the app, or through PayPal.com
Unfortunately, if you’re not approved, you will have to checkout without Pay in 4.
Furthermore, if your application is declined, whether applying through checkout or PayPal, you will be sent an email from PayPal explaining why you were declined
Additionally, PayPal processes your application by considering your financial position, the information you provided on your application, and information from your usage and history with PayPal.
PayPal may even use “external bureau data” to process your application.
Additionally, to finish applying for Pay in 4, you will have to read and accept the “loan agreement.”
There will be a link when you apply to view the loan agreement, which you can choose to download.
To learn more, read our posts on why is PayPal so slow, is PayPal a bank, and how long do PayPal refunds take.
Conclusion
PayPal Pay in 4 is another bnpl option offered through PayPal. Pay in 4 allows you to buy items and split the purchase into 4 payments over time.
Unfortunately, not everyone has the option to use Pay in 4 yet. This is because PayPal may have already viewed your account and found it not suitable for Pay in 4. Another reason is, PayPal Pay in 4 is only available in the U.S. and is not yet available in every state yet.
Please note that the terms and conditions of PayPal’s services, including PayPal Pay in 4, may change over time, so I recommend visiting the PayPal website or contacting PayPal directly for the most up-to-date information.
