Recurring Payment Authorization for Afterpay-Branded Products

LAST UPDATE: 1 June 2022

In this Recurring Payment Authorization for Afterpay-Branded Products (“Authorization”), “we,” “us,” and “our” mean the lender for your Afterpay-branded loan and its successors, assigns, and loan servicers and other agents. The words “you” and “your” mean the consumer providing this Authorization. The term “Payment Method” means the payment card or account you have entered as your designated payment method for purposes of a particular Afterpay-Branded loan or as your default payment method in your Afterpay account.

You execute this Authorization by electronically authorizing recurring payments as indicated in the origination process for your Afterpay account or an individual Afterpay-Branded loan. The term “Authorization Screen” means the website or mobile screen through which you execute this Agreement.

Authorization for Debit of Down Payment and Recurring Debit of Remaining Payments

You authorize us to initiate electronic debits to your Payment Method:

(i)    For any down payment required in connection with the Afterpay-Branded loan to which this Authorization relates on the date such down payment is due (as described in your loan agreement); and

(ii)   On a recurring basis, for any deferred installment payments due in connection with the Afterpay-Branded loan to which this Authorization relates in the amounts and timing disclosed in your Remaining Payment Schedule for such loan (as provided in your original loan agreement or as superseded by any subsequent Final Payment Schedule delivered to you as a supplement to your original loan agreement).

You also authorize us to initiate electronic debits for any fees incurred on your Afterpay-Branded loan, and to aggregate your any fees owed into any payment under this Authorization for processing as one electronic debit or to process debits for additional fees separately.

You authorize us to rely on the Payment Method we have on file at the time a payment described above is initiated. You are responsible for ensuring that you have sufficient funds available through your Payment Method to make all authorized payments on the dates due. You understand that, to change your Payment Method, you must update your Afterpay account with all necessary changes to your debit/credit card information on file and must do so at least [three] business days in advance of any scheduled payment in order for us to ensure that such scheduled payment will be processed using your new Payment Method. If we are unable to charge your Payment Method for an amount due, you will be subject to late fees based on your loan agreement, and you also may be charged fees by your financial institution that we do not control or impose.

Re-Initiation of Failed Debits

If your Payment Method is a bank account and we are unable to collect any payment because your payment method is declined, we will not reattempt to collect the payment from your bank account. If your Payment Method is any form other than a bank account and a payment is rejected, we may attempt to re-initiate payment up to [X] times, but we are not required to attempt re-initiation. Please note that your financial or banking institution may charge you a fee for a returned or unsuccessful payment. We will not be held responsible for any fees assessed by your financial or banking institution for returned or unsuccessful payment agreement payments.

Authorization for Credit Entries and Correction of Errors

You also authorize us to debit or credit your Payment Method as we deem necessary to correct any erroneous transactions with respect to the Afterpay-Branded loan to which this Authorization relates.

Additional Terms for Payment Methods that are “Electronic Fund Transfers”

If your Payment Method is covered under the rules for electronic fund transfers (e.g., a debit card accessing a checking, savings, or other asset account, or a checking, savings, or asset account from which we will process an automated clearinghouse (“ACH”) or similar payment), the following terms also apply.

You may revoke this authorization at any time by contacting our Customer Service center at https://help.afterpay.com. Any notice of revocation must be received at least three (3) business days prior to the next scheduled payment due date to avoid the next scheduled payment from being automatically debited from your account. If you revoke this authorization, you understand that you will be responsible for making your payments by another payment method. 

You have the right to receive advance notice if any payment we seek will vary from the amount authorized above or from the prior payment in this authorization. We will notify you of such changes via email at least ten (10) business days before the varying payment is due. If you would like to opt-out of receiving these notices, please contact our Customer Service center at https://help.afterpay.com.