Transparency matters to us.

At Openpay, our aim is to help you spend in a fairer, smarter way. But we also want you to be completely clear on how Openpay works; transparency is really important to us, as is building a base of responsible spenders who understand how to manage their finances.

We know some people may have questions about how it all works, so let’s set the record straight, starting with some rumors heard on the street about what Openpay is, and how to use it.

Myth 1:

Plan fees are too expensive.

When you take out an Openpay plan, you won’t get unexpected fees.

When you take out an Openpay plan, you won’t get unexpected fees. You don’t get “annual fees” or “application fees”, let alone “transaction fees”.

And best of all, you’re not at the mercy of ever-changing interest rates.

In fact, an Openpay plan has no fees if you take out a two month plan.

If you take out a six or 12 or 24-month plan (with fortnightly repayments), you’re still just looking at one single fee per fortnight. For more information, just view our fee prices here.

Apart from that, we may charge you a late fee if you don’t make payments – but that late fee $9.50 and we’ll make sure we do our best so you know when your upcoming payment is due coming est to help you avoid it.

And that’s it. That’s all the fees.

Myth 2:

Late fees are too expensive

This myth may well be true for some providers, but certainly isn’t for us.

This myth may well be true for some providers, but it certainly isn’t for us.

Three points; all pretty simple.

Point one: Our late fee is $9.50. Full stop. End of story. It doesn’t increase. It doesn’t change due to interest rates. We won’t charge a late fee on top of a late fee. This means that we will only ever charge a late fee once per late payment.

Point two: We’ll remind you when your payments are coming up. Openpay customers will receive an email and in-app reminder three days before a fortnightly payment is due. If you miss it, we’ll send another reminder one day after, then three days and then a final notice. A late fee is only applied after three full days have passed.

Point three: We’re always happy to talk. We appreciate that circumstances can change so if you ever know that you can’t make a payment, please contact us as early as possible as we can adjust due dates to better match your pay cycles.

Myth 3:

The payment terms are too complicated.

When you get a Openpay account, you also get total transparency.

When you get a Openpay account, you also get total transparency. Our customers know what they need to pay. And they know exactly when they need to pay it.

Compare this to a credit card where most of us would be unable to work out how much it costs to borrow, because that all depends on a) how long we take to pay it back and b) changing interest rates.

Depending on your plan length and spend, with Openpay it’s just a simple flat, fortnightly fee. And if all that doesn’t sound straightforward enough, the Openpay app lays it all out in a smart, easy and intuitive way so you can see all your past and future payments in the one place.

Myth 4:

It’ll stop me from getting a home loan.

If you’ve been living within your means, the process shouldn’t be impacted.

Using buy now, pay later doesn’t automatically mean your home loan application will be declined. If you’ve been living within your means and keeping up with repayments, the process shouldn’t be impacted by any “buy now pay later” products you might have used.

It’s worth keeping in mind that an applicant who uses “buy now and pay later” products can still seem like a risk to some lenders. This is because not all mortgage brokers are as aware as they should be of how BNPL operates as a more responsible form of credit.

A financial adviser might suggest you close your Openpay account, just as they might suggest cancelling an unnecessary credit card before applying for a mortgage.

Here’s the good news: we’re happy to help and the door’s always open for you to come back. We can reactivate your account the moment your mortgage is approved – and you might just need it to help you renovate your kitchen or invest in furniture you actually like

Myth 5:

High account limits encourage irresponsible spending.

When you get a Openpay account, you also get total transparency.

Credit can be a fantastic way to buy things when you need them, but high-interest credit cards with soaring limits can easily turn buying too much into debtyou can’t afford.

Why is Openpay a much safer bet?

Reason one: We’re a little bit stricter. It’s simply not in our interest for you to spend more than you can pay back. Credit cards can be used all the way up to their limit even if you’re in default. At Openpay, we will freeze your account if you’re unable to make your repayments to protect you from further debt.

Reason two: We’re here for you. If ever want to reduce your spending limit, all you have to do is pick up the phone and speak to a real person, not a robot.

We also go to a great deal of effort to make sure that your spending limit is right to begin with. We’re not in the business of unnecessary risks, so we only provide plans to customers that are financially responsible. The average age of our customers user is 39. They are homeowners, car-owners, pet-owners and parents.

Bottom line: Openpay is a responsible lender. When our services are used responsibly, they’re a great way to manage your cash flow.

Myth 6:

It’s bad for my credit score

If you’ve been living within your means, the process shouldn’t be impacted.

Unlike your average bank, we don’t conduct a credit check when you sign up with us. When you open an Openpay account we perform a quick ID check to make sure you are a real person, then our decisioning algorithm takes over to allocate an initial limit of up to $500 and you’re away.

We will only conduct an external credit check if you then request an increase to your original limit, and only with your consent. This is the same process used by banks for credit cards, personal loans and the like.

At this point everything you know about credit checks is true. Yes, external credit checks end up on your credit report. Yes, if several checks appear in a short period of time, it could look bad on your credit score. And yes, like any other responsible lender, Openpay has been known to conduct credit checks.

From then we will conduct one credit check every 12 months. So, if you don’t want to have a second check on your record, simply organise a shorter plan or pay us out in 11 months.

Myth 7:

I have no use for Openpay

When you get a Openpay account, you also get total transparency.

Credit cards may not be a thing of the past, but their future is far from certain thanks to buy now pay later services (BNPL) exploding as the world’s fastest-growing e-commerce payment method.

If you’re wondering why, then wonder no more. It’s simple, it’s affordable and it works. BNPL is a straightforward way to manage your money that comes with no hidden catches or fees and no risk of interest-fuelled debt.

The origins of BNPL are the pay-in-four model, designed to break up payments for something small like a pair of jeans.

We can do that, but we specialise in so much more. In some cases, our plans run up to 24 months and cover what we like to call “grown up purchases”.

With Openpay you don’t need to put off getting your car serviced or worry about the cost of a new root canal. You don’t need to panic when your dog eats a whole bar of chocolate or when your kitchen suddenly starts to leak. You can get your back seen to and then invest in a chair that means fewer future visits to the chiropractor.

Basically, you don’t need to put your life on hold. You get to seize the day.

Openpay is here to help you get what you want and, more importantly, what you need.

Flexible plans
that work for you.

With Openpay, you’re in control.

You choose where and how you pay, we do the rest.

Make Openpay suit your budget and lifestyle.

Download the Opy app.