Shop Pay: What Is It and How Can It Benefit You?

Ottawa, Ontario, Canada - August 9, 2020: Shopify sign on their headquarters building in Ottawa, Ontario, Canada on August 9, 2020.
JHVEPhoto / Getty Images

If you shop online often, you’ve likely experienced the headache of searching for your credit card to place an order. Or, like many people, maybe you just don’t like typing information into online forms each time you make a purchase. 

That’s why Shopify created Shop Pay. What is Shop Pay? Available at select online stores, Shop Pay adds convenience and security to the payment process. Read on to learn more. 

What Is Shop Pay?

Shop Pay is a rapid checkout feature that enables customers to store their email, credit card and shipping and billing details. This can speed up the checkout process, especially if they have previously used Shop Pay on any Shopify platform.

The service is fast and secure. Shoppers can pay for purchases over time using its buy now, pay later options. Shop Pay also supports initiatives to remove carbon emissions from the atmosphere with each purchase. 

Your experience with Shop Pay will differ depending on whether you’re a shopper or a seller. 

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Shop Pay for Shoppers

For shoppers, Shop Pay provides a convenient way to pay at participating online stores. Shop Pay securely stores your shipping and payment information, making the checkout process quick and easy. It also offers options allowing you to pay over time, either at 0% interest over eight weeks or between 10% and 30% interest with terms as long as 12 months.

The Shop app also offers a curated shopping experience based on users’ shopping history, making it easy to find what you’re looking for.  

Shop Pay for Sellers

If you’re a Shopify seller, you can activate Shop Pay in your Shopify admin dashboard. Offering Shop Pay could greatly increase your sales too. Shop Pay Installments gives your buyers buy now, pay later options. This is something to consider as 65% of online shoppers say these options make them more likely to purchase goods online.

Also, as interest in combating climate change grows, Shop Pay’s commitment to removing carbon emissions from the atmosphere is another selling point.

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Shop Pay vs. Shopify

Shop Pay is a Shopify product, but the two are very different. Shopify is a commerce platform that gives merchants the ability to create online stores to sell their merchandise. It gives consumers the ability to find the products they’re looking for at reasonable prices. 

Shop Pay, on the other hand, is an integrated payment platform that offers BNPL options as well as enhanced shopping features. 

Where Is Shop Pay Available?

Although Shop Pay is available in multiple countries worldwide, BNPL through Shop Pay Installments is available only in the United States. It’s also worth noting that while Shop Pay does accept most types of credit and debit cards, Capital One cards and prepaid debit cards cannot be used as a form of payment for Shop Pay Installments.  

Why Use Shop Pay? 5 Benefits To Consider

There are several reasons to consider taking advantage of Shop Pay. 

Order Tracking

The Shop app makes it easy to track all your orders in one place. You can do this in two ways:

  1. Connect your email and the app will find your orders in your email account. 
  2. Connect your Amazon account. 

Once you’re connected, just click the “Orders” tab in the app to track your orders. 

Flexible Payment Plans

Shop Pay Installments offers flexible BNPL plans based on the amount of money you spend. Here’s how it works:

  • If your order is between $50 and $999, you can pay the balance off in four bi-weekly payments at 0% interest. 
  • If your order is between $150 and $17,500, you can make monthly payments for up to 12 months with interest rates between 10% and 30%. 
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A Personalized Shopping Experience

You can use Shop AI to find the products you’re looking for quickly. Through Shopify, Shop Pay also gives you personalized product recommendations that you can add to your favorites list. These recommendations are based on the products you like and have purchased.


In this day and age, it’s more important than ever to keep your personal and payment information secure. Using Shop Pay is a perfect way to do just that. To keep your information secure, Shop Pay complies with strict PCI standards and takes advantage of tokenization. Moreover, the company stores your data so you don’t have to enter it multiple times, risking message interception each time you shop. Simply click to pay and Shop Pay handles the rest securely. 

Carbon-Neutral Deliveries

Every time you make a purchase using Shop Pay, Shopify works to remove carbon from the atmosphere. The company partners with organizations like Climeworks, Planetary and Remora to remove carbon emissions from the air and water. They also filter emissions as they exit semi-trucks. So when you shop with Shop Pay, you can feel good about the impact your purchases have on the environment. 

Final Take

If you’re looking for a customized, secure shopping experience that offers reduced carbon emissions, sign up for Shop Pay to make the most of your online shopping experience. 

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Here are the answers to some common questions people ask about Shop Pay.
  • Is there a charge for Shop Pay?
    • Shop Pay is a free payment application. The only charges that apply are when a customer uses credit services to pay in installments.
  • Is it safe to use Shop Pay?
    • Yes, Shop Pay is a safe, secure platform.
  • Does Shop Pay hurt your credit score?
    • Using Shop Pay has no impact on your credit score, good or bad. That's because it doesn't pull your credit report to provide buy now, pay later loans. However, monthly payments on longer-term loans may be reported to credit bureaus, and failure to make your payments as agreed may impact your ability to use Shop Pay Installments in the future.
  • Is Shop Pay the same as Afterpay?
    • No. Shop Pay and Afterpay are two different companies. However, the two offer similar services. Afterpay is one of the largest providers of BNPL services in the world, so you'll be able to use Afterpay at more online stores than Shop Pay.
  • How do I get out of Shop Pay?
    • To opt out of Shop Pay, add your mobile number to the company's opt-out form and request to opt out of the services. Shop Pay will handle the request from there.

David Granahan and Taylor DeJesus contributed to the reporting for this article.

Information is accurate as of April 24, 2023. 

Editorial Note: This content is not provided by any entity covered in this article. Any opinions, analyses, reviews, ratings or recommendations expressed in this article are those of the author alone and have not been reviewed, approved or otherwise endorsed by any entity named in this article.

The article above was refined via automated technology and then fine-tuned and verified for accuracy by a member of our editorial team.

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