If you want to know what is Amazon Pay Later then you are at the right place. It is a convenient credit facility Amazon India offers in partnership with Capital Float, an NBFC. It allows you to buy products on Amazon.in now and pay for them later – either next month at no extra cost or in 3 to 12 EMIs.

With Amazon Pay Later, you can shop on Amazon without needing a credit card. It is an instant, digital way to get credit approval and complete purchases. Read on to learn more about eligibility, registration process, working, interest rates, and using Amazon Pay Later for shopping.

Eligibility Criteria for Amazon Pay Later

What is Amazon Pay Later and How to Use It Guide

To be eligible for Amazon Pay Later, you need to fulfil the following KYC and other requirements:

KYC Requirements

You can complete KYC through any of these methods:

  • Aadhaar-based eKYC – Enter your Aadhaar number and PAN to generate an OTP for verification.
  • Physical KYC – Amazon will conduct in-person verification by visiting your address. This takes more time than e-KYC.
  • Existing customer KYC – If you have already completed KYC with Capital Float, you can verify your identity with an OTP.
  • CKYC under CERSAI – Answer questions based on your CKYC data and give consent.

Also Read: Transfer Amazon Pay Balance To Bank Account In 8 Easy Steps

How To Register for Amazon Pay Later

Now, registering for Amazon Pay Later is quite easy. Just follow these steps to register for Amazon Pay Later right and start using it!

Step 1: Complete KYC

You need to complete KYC verification to register for Amazon Pay Later. There are a few options to complete the KYC process digitally:

  • Aadhaar-based eKYC – This is the fastest method. Enter your Aadhaar number and PAN card details. An OTP will be sent to your registered mobile number. Input this OTP to complete verification.
  • Existing customer KYC – If you have already completed full KYC with Capital Float previously, you can simply verify your identity with an OTP sent to your mobile number registered with them.
  • CKYC under CERSAI – If your KYC details are available under CKYC, you will need to answer some questions based on your personal data. Give consent to use CKYC data for verification.

Physical in-person KYC is also an option, but takes 1-2 days for completion.

What is Amazon Pay Later and How to Use It Methods

Step 2: Accept Terms and Conditions

  • Once your KYC is completed, the Amazon Pay Later limit is shown to you. 
  • The loan agreement terms and conditions are also displayed. 
  • Read through the agreement carefully before accepting the terms.
What is Amazon Pay Later and How to Use It Easy Guide

Step 3: Set Up Auto-Repayment

  • Link your bank account from one of Capital Float’s partner banks for auto-debit of EMIs. 
  • Choose the account you want to link and set up a mandate for auto-debit on the 5th of each month. 
  • Ensure sufficient balance is maintained to avoid failed transaction charges.
What is Amazon Pay Later and How to Use It Auto Repayment

How Amazon Pay Later Works?

Amazon itself does not provide credit under this facility. Their lending partner, Capital Float, extends the credit. You can use the credit in two ways:

  • Pay next month – Make the full payment next month at no extra cost.
  • 3-12 EMIs – Repay in equal monthly instalments with applicable interest.

1) How It Compares to Credit Cards

Amazon Pay Later works similarly to credit card options. The key differences are:

  • You don’t need a credit card to get a credit facility on Amazon.
  • Interest rates could be higher than credit cards.
  • Exclusive deals may be offered under this facility.

For those without credit cards, this facility is useful for purchasing EMIs.

2) Lending Limits

You can buy only one eligible item per transaction using Amazon Pay Later. There is also an annual purchase limit of Rs 60,000 if you did eKYC. For a higher limit, physical KYC is required.

What is Amazon Pay Later

Also Read: How To Refer Amazon Pay & Earn (Step By Step Guide)

Interest and Other Charges

There are no charges if you opt to pay next month. For EMIs, interest will be applied as communicated on the payments page. Key things to note:

  • Interest is applicable for 3-12 EMIs.
  • Late payment penalties are charged.
  • No processing fee or down payment.
  • ECS bounce charges are applicable if auto-debit fails.

Purchase Process with Amazon Pay Later

You can use Amazon Pay Later on both the website and mobile app if your account is active. Only certain products are eligible:

1. Eligible

  • Most physical goods.

2. Not Eligible

  • Gift cards.
  • Jewelry.
  • Amazon Global items.
  • Bullion.
  • Bill payments.

Amazon Pay Balance can be clubbed with Amazon Pay Later. No-cost EMI may be offered selectively.

What is Amazon Pay Later and How to Use It

Repayment & Billing Cycle

Auto-debit happens on the 5th of each month for purchases till the 15th of the last month. The billing cycle is from the 16th to the 15th of next month. If auto-debit fails due to insufficient balance, the penalty for failed transactions is levied over and above bank charges.

How to Use Amazon Pay Later?

If you’re wondering about how to use Amazon Pay Later, then rest assured. This feature is quite easy to use. Plus, it has a lot of benefits. Just follow these steps to shop with Amazon Pay Later!

Step 1: Go to the Amazon app or website and add an eligible product to the cart.

What is Amazon Pay Later

Step 2: At checkout, select Amazon Pay Later as the payment method from the available options.

What is Amazon Pay Later

Step 3: The available credit limit will be shown. Choose pay next month or 3-12 EMIs tenure.

Step 4: No additional charges apply if pay next month is selected. For EMIs, the interest rate will be displayed.

Step 5: After placing an order, the loan agreement is shown in the Orders section—download agreement.

Step 6: Payment will be automatically deducted from the linked bank account on the due date.

Also Read: Transfer Amazon Pay Balance To Paytm Using Easy Tricks!

Benefits Of Using Amazon Pay Later

If you’re using Amazon Pay Later, then get ready for a lot of benefits. Amazon Pay Later offers instant credit access, 0% interest, and more! Some key benefits of using Amazon Pay Later are listed below! 

  1. Get instant credit access without needing a credit card. 
  2. 0% interest option to pay next month for convenience.
  3. Can opt for EMIs at competitive interest rates.
  4. Completely online digital process for convenience.
  5. No processing fees or down payment are required.
  6. Auto-debit facility removes the hassle of remembering repayments.
  7. Seamless integration with Amazon shopping experience.
  8. Additional deals or discounts may be offered.
  9. Simpler eligibility than credit cards based on limited KYC.
  10. Useful financing option for customers without credit cards.


Amazon Pay Later offers a convenient way to access credit on Amazon for shopping. For those without credit cards, it provides an instant financing option to shop on EMIs. However, interest and charges apply, so use judiciously. If you need more content like this, then keep in touch with us!

Similar Posts

Leave a Reply

Your email address will not be published. Required fields are marked *