KEY POINTS
- You can’t purchase groceries directly from Coles or Woolworths with Afterpay, but you can buy Giftcards to be used at checkout.
- While Afterpay is interest free, you will be charged late fees if you fail to make your payments on time.
- You may not be able to buy gift cards with no upfront costs depending on your Afterpay payment history.
If you’re strapped for cash come grocery shopping time, here’s some good news: there’s a way to use Afterpay to pay for groceries.
On this page:
How to use Afterpay to pay for groceries
While you might not be able to buy your groceries directly through Afterpay, shoppers may be able to buy a Coles or Woolworths gift card from the Afterpay app or website to redeem at the checkout. This will split the cost of your grocery shop into four fortnightly installments.
However, it’s worth remembering that buy now pay later (BNPL) credit is a form of debt, so using these deferred payment options for recurring expenses like groceries and food could put you in a risky financial situation.
Can you use Afterpay at Coles or Woolworths?
Coles and Woolworths currently do not provide any BNPL payment options.
However, you can use PayPal Pay in 4 when buying gift cards through the supermarkets, but you won’t be able to use this service to pay for your groceries directly.
How do you get an Afterpay gift card?
You can get gift cards through Afterpay by simply navigating to the gift cards tab in the app or website. However, Afterpay reserves the right to decline purchases for any reason. Also, the option to pay nothing upfront may not be available to all customers, as Afterpay limits this feature based on factors such as your payment history.
Where can you use your Afterpay gift card?
Afterpay gift cards can be used at a range of stores, online retailers and services. To see the complete list of where you can use your gift card, visit the Afterpay website. Keep in mind that some of these stores will only take Afterpay online.
Here are some of the stores and services where you can use an Afterpay gift card:
- Woolworths
- Coles
- Harris Farm Markets
- Uber
- Uber Eats
- Deliveroo
- DoorDash
- Airbnb
- Bunnings
- Harvey Norman
- Ampol
- Kmart
- IKEA
- Target
- Apple
- Amazon
- Playstation Network
- eBay
- Myer
- Netflix
- BINGE
- Supercheap Auto
- Kayo
- Rebel Sport
- Big W
- Pandora
Do restaurants use Afterpay?
There is an increasing number of restaurants accepting Afterpay as a form of payment, but it’s best to check out the Afterpay website for participating venues before you dine out. There are a number of chain restaurants, meal delivery brands, takeaway food stores and even delivery services jumping on the Afterpay train. These include:
- Pizza Hut
- Burrito Bar
- The Coffee Club (online store only)
- Dineamic
- Jenny Craig
- Youfoodz
- Deliveroo
The pros & cons of Afterpay
Afterpay is an incredibly handy tool when you’re in a pinch, but there’s no such thing as a free lunch. Like a lot of post-payment schemes, Afterpay includes fees that can often lead to you paying more than if you had paid upfront. Here are some pros and cons to consider before joining Afterpay.
| Pros | Cons |
| Instant gratification | *Late fees |
| Interest-free purchases | Encourages impulse spending, which can ultimately cost you more in the long run |
| Less financial stress compared to credit cards (considering interest free conditions) | Late payments can affect your credit score or loan approval process |
| Simple purchasing process, seamlessly integrated into store checkout | Afterpay applies spending limits based on your purchasing and repayment history |
| Easy app download with speedy approval | Ultimately, you’re spending money you don’t have, which can lead to debt |
*Refer to the Afterpay website for the applicable late fees.
Important Information: Please keep in mind that ‘Buy Now Pay Later’ (BNPL) services are a form of credit. Failing to make repayments on time may result in late payment fees or other charges, and may impact your credit score. Please read the BNPL’s terms and conditions before signing up.BNPL services are not currently subject to the National Consumer Credit Protection Act 2009. BNPL services are largely unregulated in Australia, meaning consumers have fewer legal protections.The information provided in this article is factual information only and not financial product advice on ‘Buy Now Pay Later’ (BNPL) services.
Picture credit: Doublelee/Shutterstock.com.
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