Buy now, pay later · Payment methods
Zip for online stores: how it works in Australia and the US
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Zip is a buy now, pay later provider for shoppers in Australia and the US. In Australia, Zip Pay is a line of credit for purchases up to A$1,000 and Zip Money covers A$1,000 to A$50,000, with interest-free periods that depend on the retailer. In the US, Zip Pay in 4 splits $35 to $1,500 into four payments over six weeks, with a fee charged to the shopper. The store is paid upfront, and Zip collects the repayments. Zip is leaving New Zealand in 2026.
- Where it works
- Australia and US (domestic only on Stripe)
- Australia
- Zip Pay A$1 to A$1,000; Zip Money A$1,000 to A$50,000
- United States
- Pay in 4, $35 to $1,500, first payment at checkout then three every two weeks
- Settlement
- Up to 2 business days on Stripe
- Refunds
- Full or partial within 180 days; usually 3 to 5 business days
- Disputes
- US: handled by Zip directly; Australia: 180 days to file, 12 days to respond
- Recurring payments
- Not supported
What PlatformDTC does
PlatformDTC checkout does not offer Zip today. Australian shoppers can use Afterpay or Klarna on one-time orders from A$1 to A$4,000, and US shoppers Klarna ($1 to $10,000) or Afterpay ($1 to $2,000); cards, Apple Pay, Google Pay and PayPal work in both.
How Zip works for shoppers
The shopper picks Zip, is redirected to Zip to check eligibility, sign in and pick a plan, and is sent back to the store. In Australia, Zip Pay lets shoppers repay weekly, every two weeks or monthly, with a monthly account fee that is waived when the balance is repaid by the due date. Zip Money charges an establishment fee and a monthly fee, and offers interest-free periods of up to 36 months at some retailers. If an Australian purchase exceeds the shopper's Zip credit, they can pay the rest by card upfront.
What it means for your store
Zip pays the full purchase amount, minus fees, upfront and collects from the shopper. On Stripe, Zip is available to US and Australian businesses, including business-to-business sellers. In the US, Zip handles disputes itself and shoppers contact Zip Support. In Australia the shopper must contact you first; if it is unresolved after 14 days they can open a case with Zip, and Stripe holds the amount plus a dispute fee until Zip decides.
Zip's developer site says Zip is withdrawing from New Zealand to focus on Australia and the US: new purchases ended on 16 August 2026, refunds were processed until 5 October 2026, and merchant portal access ends on 12 October 2026.
Frequently asked questions
- Can I still offer Zip in New Zealand?
- No. Zip stopped new customer approvals on 17 July 2026 and new purchases after 16 August 2026 as it leaves the New Zealand market.
- Does Zip charge my US customers a fee?
- Yes. Stripe's documentation says Zip charges US shoppers a fee based on the purchase amount for Pay in 4, while the store receives payment upfront.
- Can Zip be used for subscriptions?
- No. Stripe lists recurring payments as not supported for Zip, and it isn't available in Checkout subscription or setup mode.
Sources
- Zip payments — Stripe
- Zip developer getting started — Zip
Related
- Afterpay / Clearpay — Four interest-free payments every two weeks in the US, Canada, UK (as Clearpay), Australia and New Zealand.
- Klarna — Pay in full, in 30 days, in 3 or 4 parts, or financing; store paid upfront, Klarna takes the credit risk.
- Sezzle — US and Canadian pay in 4, pay in 5 and monthly plans; Sezzle pays the store upfront and handles repayment.
- Alma — French-born pay in 2, 3 or 4 for euro shoppers; €50 to €5,000 orders on Stripe, store paid upfront.
- Riverty — Pay by invoice in 14 or 30 days, monthly invoice and installments, mainly in DACH, Benelux and the Nordics.
- Scalapay — Italian-born pay in 3, pay in 4 and pay later for shoppers in euro countries; euro only.
- Tabby — Gulf pay in 4 and longer plans in Saudi Arabia and the UAE; merchants receive the full amount in days.
- Tamara — Sharia-compliant pay in full or split in 2, 3 or 4 in Saudi Arabia, the UAE and Bahrain; no interest.