From 12 August 2025, Instalment Plans will no longer be available for new purchases made on your Zip Money account. Any new purchases will be placed on the Flex repayment schedule, which requires making minimum monthly repayments.
Existing Instalment plans will continue, and you must keep making repayments as usual. For more information on these changes, please visit here.
What is an instalment extension fee?
This is a small fee you agree to pay to extend your interest-free repayments (additional months) on eligible Zip Money purchases. It gives you flexibility to repay over a longer period — up to 6, 12, or even 18 months, depending on the eligibility.
The fee is 1.5% of your purchase amount for each additional month of interest free repayment. The fee will then be split between the total number of instalments.
Example
You purchase something for $1,000 and choose to extend your interest-free period from 3 months to 6 months i.e. 3 extra months:
- 1.5% of $1,000 = $15 per extra interest free month
- 3-month extension = $45 total fee
- This $45 fee is split evenly across your 6 monthly repayments i.e. 45 divided 6 = $7.50 added to your monthly instalments.
You’ll see the updated instalment amount in the Zip app once your order is confirmed.
What if I repay early?
Here’s how we handle early repayments:
- Repay during the default 3 month interest-free period:
- Any extension fees already paid will be refunded to your Zip account.
- Repay after the default period ends:
- You won’t pay any more extension fees, but fees already paid won’t be refunded, as you’ve received the benefit of the extended interest-free term.
Why did my fee or instalment amount change?
If you estimated your spend when creating a Single-Use Card, your instalment projection is based on that estimate.
If the final purchase amount is higher or lower, your actual fee and monthly repayments will automatically adjust based on the new amount.
Where can I see my fee breakdown?
You can view full details of your instalment plan and any extension fees in the Zip app:
- Open the Zip app
- Tap the ‘Home’ tab
- Select your Zip Money account
- Tap on ‘Instalments’
- Choose the order to view the fee and schedule