Every Zip Money purchase comes with an interest-free period of up to 3 months*, and some partnered retailers offer extended interest-free terms of up to 60 months. With the right repayment habits and the helpful tools in your Zip app, it’s easy to stay on top of your balances and avoid paying interest.
To help you understand exactly what’s interest-free and what may be accruing interest, the Zip app now shows a clear breakdown directly under your Total owing balance:
You’ll see three key amounts:
Available: This shows the remaining credit you can use.
Interest free: This shows the total amount currently within its interest-free period.
These purchases won’t incur interest as long as you pay them off before the interest-free period ends.
Interest bearing: This shows the amount currently attracting interest. If something appears here, it means its interest-free period has ended.
How to Avoid Paying Interest
To stay interest-free:
- Repay purchases before their interest-free period expires.
- Pay more than your Minimum Monthly Repayment (MMP).
Your MMP helps keep your account in good standing, but it may not be enough to clear purchases before they begin accruing interest. - Use the in-app breakdown to keep track of how much of your balance is interest-free and how much is nearing expiry.
*T&Cs and credit approval apply. A monthly account fee of $9.95 will apply. A one-off establishment fee may apply for new customers. Other charges may be payable, see T&Cs. Interest, fees and charges subject to change. Credit provided by ZipMoney Payments Pty Ltd (ABN 58 164 440 993), Australian Credit Licence Number 441878. Find out more here.