PayPal Credit is a digital line of credit built into your PayPal account that lets you pay for purchases over time, either at checkout on websites that accept PayPal or directly through the PayPal app. Once approved, it works like a store credit card you can use anywhere PayPal is accepted. Here’s how to apply, use it at checkout, and manage your payments.
How to Apply
You can apply for PayPal Credit directly from the PayPal website or the PayPal app. During the application, you’ll need to provide your date of birth, your after-tax income, and the last four digits of your Social Security number. You’ll also need to agree to the terms and conditions before submitting.
To be eligible, you must be a U.S. customer who is of legal age in your state. PayPal runs a credit check through Synchrony Bank, which is the lender behind the credit line. You’ll get a decision within seconds. If approved, the credit line is added to your PayPal account immediately, so you can start using it right away without waiting for a physical card in the mail (unless you’re approved for the PayPal Credit Card specifically, which is a separate product).
Using PayPal Credit at Checkout
When you’re shopping online at any retailer that accepts PayPal, look for the PayPal button at checkout. After you log in to your PayPal account during the payment process, you’ll see your available payment methods listed: your linked bank accounts, debit or credit cards, and PayPal Credit. Select PayPal Credit as your payment source, then confirm the purchase.
You can also use PayPal Credit when sending money through PayPal itself or when shopping on eBay. The key thing to remember is that PayPal Credit only appears as an option after you’ve been approved. If you don’t see it listed among your payment methods, you either haven’t applied yet or weren’t approved.
Understanding the Interest and Fees
PayPal Credit is a revolving credit line, which means any balance you don’t pay off by your due date will accrue interest. The standard APR (the annual interest rate applied to your balance) varies based on your creditworthiness and is set by Synchrony Bank. Check your account terms for your specific rate, as it can differ from one borrower to the next.
PayPal also offers other “Pay Later” options at checkout that work differently from the Credit line. Pay in 4 splits a purchase into four interest-free payments made every two weeks. Pay Monthly spreads larger purchases over several months at rates ranging from 9.99% to 35.99% APR depending on the offer and your credit profile. Neither of these options charges late fees, which is unusual among buy-now-pay-later services. However, these are separate products from the PayPal Credit line, so pay attention to which option you’re selecting at checkout.
How to Make Payments
You have four ways to pay down your PayPal Credit balance: online, through the app, by phone, or by mail.
- Online: Log in to your PayPal account and click on “PayPal Credit digital line” (or “PayPal Credit Card” if that’s what you have). From your account page, you can make a one-time payment, schedule a future payment, or set up autopay so you never miss a due date.
- PayPal app: Tap “PayPal Credit digital line” or “PayPal Credit Card” on your dashboard. Then tap “Make a Payment,” choose how much you want to pay, pick your payment method and date, and confirm.
- Phone: Call Synchrony Bank directly. The number for the PayPal Credit digital line is (844) 373-4961. For the PayPal Credit Card, it’s (844) 209-7457.
- Mail: Use the payment slip and envelope included with your billing statement. Write your account number on the check before sending it.
Setting up autopay is worth the two minutes it takes. Even if you plan to pay more than the minimum each month, autopay ensures you won’t accidentally miss a payment and trigger interest charges or a hit to your credit score.
Managing Your Account
Your PayPal Credit dashboard, accessible from both the website and the app, shows your current balance, available credit, minimum payment due, and upcoming due date. This is also where you’ll find your statements, which break down each purchase and any interest charges applied during the billing cycle.
Because Synchrony Bank is the actual lender, your PayPal Credit activity gets reported to the major credit bureaus. That means on-time payments help build your credit history, while missed payments can hurt your score. If you’re using PayPal Credit to finance a larger purchase, treat it like any other credit obligation: know your due dates, pay at least the minimum on time, and pay more than the minimum whenever possible to reduce the total interest you’ll owe.
Your credit limit may increase over time as you use the account responsibly, though there’s no guaranteed timeline for that. You can check your current limit anytime from the same dashboard where you view your balance.