Based on research and not influenced
This is based on research, and not influenced. However, we may earn a commission if you buy through links on this site.

How Citizens Pay Line of Credit Works for Buy Now Pay Later

Citizens Pay line of credit allows you to enjoy payment plan purchases at several retailers with no down payment required.

While there are several split payment providers, only a few allow buy now pay later with no downpayment required before your order ships.

With Citizens Pay being one of those coupled with its presence at well-known merchants, there is no doubt it is worth considering when you need financing for your product purchases.

Citizens Pay

Citizens Pay

Max. Amount



Credit Line



Tip: Citizens Pay line of credit is a revolving loan offered by Citizens Bank which you can use to make payments at several merchants that accept the bank’s buy now pay later service.


It works very similar to a traditional credit card but only that you will not get a physical or virtual card but rather usable through Citizens Pay which is accepted at checkout pages of many retailers.

When using it for payment plan purchases, you will not be required to make a downpayment when your application is approved with your first repayment expected when you receive your first statement or on the due date written on it.


Read more about Citizens Pay

Unlike the other buy now pay later apps that are interest-free for their pay-in-4 options, using the Citizens Pay line of credit comes with an APR of 29.99%.

However, you can avoid paying the interest if you can clear your outstanding balance before or on the due date stated in your credit statement.

Because of the nature of how it works, you may need to have a good credit score before you will be able to use it for payments at many of the merchants that accept it since the option will conduct both a soft and hard credit inquiry during the application process.

Just like a credit card, you will get your statement at every billing cycle, usually every month and you can keep track and clear your bills through the Citizens Pay mobile app or by logging into your dashboard online.

Where to Use Citizens Pay Line of Credit


You can use the Citizens Pay line of credit at many retailers with some major ones including the below:

Best Buy

Best Buy


Best Buy is a popular retailer specializing in consumer electronics, appliances, and entertainment products. Known for its extensive selection, competitive prices, and tech expertise, it provides a one-stop destination for customers seeking the latest gadgets, appliances, and entertainment solutions.


To use the Citizens Pay line of credit at Best Buy, you will need to choose the Upgrade+ option at checkout for purchases of up to a minimum of $550.


Apple Pay Later


The Apple Store offers a sleek and immersive environment for customers to experience and purchase Apple products, including iPhones, MacBooks, iPads, and accessories.


To use your assigned Citizens Pay line of credit for product purchases on the Apple portal, you will need to select the Citizens One option for qualifying products.




Wayfair is an online retailer specializing in furniture, decor, home goods, and appliances. With an extensive catalog, competitive prices, and a user-friendly platform, Wayfair provides customers with a convenient and diverse shopping experience for all their home furnishing needs.


The Citizens Pay option is part of the Wayfair Financing methods you can access at checkout and to use it, a minimum cart value of $500 is required.




Microsoft Online Store is the official digital marketplace for Microsoft products, including software, hardware, and accessories. Customers can explore and purchase a wide range of devices, such as Surface laptops and Xbox consoles, along with Windows software and other Microsoft services.


For Microsoft, qualifying purchases must totalled at least $900 before you will be able to use the Citizens Pay line of credit to complete the order process.




BJ’s Wholesale Club is a membership-based retail chain offering bulk discounts on groceries, household goods, electronics, and more. Known for its warehouse-style stores, BJ’s provides value and savings to members through a wide selection of products and exclusive deals.


BJ’s has a low minimum cart value requirement when it comes to utilizing the Citizens Pay line of credit for payments as only at least $99 is required.

How Citizens Pay Line of Credit Works


In simple terms, you will be able to apply for a Citizens Pay line of credit at a merchant when making payments for an order and once approved, the items will be delivered to you which you are expected to pay back in installments every month before or by the statement due date.

Citizens Pay Line of Credit Flow

Below is a more detailed explanation of the steps involved when using this option for product financing:


Access to Citizens Pay at Checkout

Before you can use this option for buy now pay later purchases, you need to be shopping at one of the retailers that accept Citizens Pay as part of their financing options.

Even though the Citizens Pay line of credit works as a revolving loan, it can only be utilized through a merchant that supports it as it is a payment gateway option rather than a standalone service you can access.

Once you have seen a preferred merchant that has it integrated at checkout, you simply need to select it to start the process.


Application for Financing

After selecting the option, you will need to send your application to be assigned the Citizens Pay line of credit that will be used to settle your transaction at your choice merchant.

At this stage, you will be required to submit your personal details including your social security number and a valid government-issued ID.


Pre-approval Stage

Once you have submitted your application, Citizens Bank will start the pre-approval process through a soft credit inquiry based on the details you provided.

This process will check your credit score and other non-credit-impacting profile data to understand your financial behavior.

The starter factors for consideration for the Citizens Pay credit line are at this stage and if you do not have enough credit history, you may be declined at this phase.


Approval Stage

This is the purchasing power decision phase and here, a hard credit check will be conducted to determine the maximum limit to be assigned to you since it works on a revolving credit line.

A hard inquiry can have a temporary negative impact on your credit score.

The effect is usually small and short-lived, but it depends on various factors such as your overall credit history and the frequency of recent hard inquiries.

On average, a single hard inquiry might result in a decrease of a few points in your credit score.

This is recorded on your credit report, including details such as the name of the requesting party, the date of the inquiry, and the type of credit you applied for.

However, continuous and responsible usage of the Citizens Pay line of credit assigned to you may help boost your score over time as the bank reports activities like assigned credit lines and repayments to the major bureaus.

Based on this hard inquiry, you will be notified if your assigned spending limit can take care of the payment for your order or if you will need to go for a lower cart value.


Order Completion

Once you have been approved for an amount that can handle the cart value, you can proceed to complete the order process by agreeing to the terms that come with using the Citizens Pay credit line for payment.

At this stage, you will be given plan options showing the length and expected minimum monthly repayment amount as well as the applicable APR.

Sample Citizens Pay Line of Credit Plans

If you are a first-time user, you may be offered the promotional APR which is a period you will be able to enjoy its financing without any interest. This varies per merchant and the plan selected.

Once the plan is picked and you proceed with the rest of the applicable steps at this stage, an order will be created which you can pick up or expect delivery, possibly with no initial debit passed to any of your connected repayment methods.


Features of Citizens Pay Line of Credit


Below are some of the things you need to know about this buy now pay later option:


Revolving Line of Credit

Citizens Pay provides a revolving line of credit, allowing users the flexibility to access funds for their purchases.

Unlike traditional loans, where a lump sum is provided upfront, a revolving line of credit means that users can borrow, repay, and borrow again, up to their approved credit limit.

This feature enables users to manage their cash flow effectively, especially for future purchases the credit line could be needed for.


Financing Period

One notable feature of the Citizens Pay line of credit is the option for users to spread their payments over an extended period, up to 36 months depending on the retailer.

This extended financing period provides users with the ability to make larger purchases while distributing the financial impact over a more manageable timeframe.

This can be particularly beneficial for individuals seeking to make significant acquisitions, such as home appliances, electronics, or other high-ticket items.


Similar to a Conventional Credit Card

The Citizens Pay operates similarly to a conventional credit card in that it offers a line of credit based on the applicant’s creditworthiness.

This means that users can make purchases up to their approved credit limit without requiring an initial downpayment.

This structure aligns with the convenience and flexibility associated with credit cards, making it a familiar and accessible financing option for users.


Creditworthiness Check

During the pre-approval phase, Citizens Pay conducts a soft inquiry to assess the applicant’s creditworthiness.

This preliminary check helps determine eligibility and provides users with an indication of whether they are likely to qualify for the line of credit.

However, it is important to note that a hard check is performed before the Citizens Pay line of credit is officially offered, underscoring the significance of a good credit score for eligibility.


Minimum Cart Value Depends on Retailer

Unlike some financing options that may require a minimum purchase amount, Citizens Pay does not specify a minimum cart value.

The decision on whether your assigned Citizens Pay line of credit can be used for a particular purchase depends on the policies of the individual retailer.

This lack of a minimum threshold enhances the accessibility of Citizens Pay for a wide range of transactions, from smaller everyday expenses to more substantial purchases at its partnering merchants.


Interest-Free Financing

Citizens Pay offers users the opportunity to enjoy interest-free financing if they clear their balance before or by the due date.

This feature is advantageous for users who can manage their repayments within the specified timeframe, as it allows them to avoid accruing interest charges on their outstanding balance.

Similar to traditional credit cards, this interest-free period provides a grace period during which users can repay their borrowed funds without incurring additional costs.


Interest Rates

For users who do not clear their balance by the due date, the Citizens Pay line of credit has an Annual Percentage Rate (APR) ranging from 0 to 29.99%.

Its APR represents the cost of borrowing and is an important factor for users to consider when evaluating the overall affordability of using the line of credit.

The variable nature of the APR means that users should be aware of the potential for interest charges to accumulate based on their outstanding balance.

You will be shown the cost of the APR before your order payment is completed and it will vary depending on the length of the loan.


Penalty Fees

The Citizens Pay line of credit includes penalty fees in the event of default on repayments or if the connected autopay method declines.

The penalty fee structure, ranging between $8 and $38, underscores the importance of timely payments to avoid additional costs.

Defaulting on repayments not only results in financial penalties but may also have adverse effects on the user’s credit score.

Therefore, users are encouraged to adhere to the repayment terms and ensure that their payment methods remain in good standing to avoid these potential fees.


Credit Reporting

An important aspect of Citizens Pay is its impact on credit reporting. The platform reports activities, including late payments, to credit bureaus.

This means that users’ repayment behavior and credit management of the assigned Citizens Pay line of credit can influence their credit history and score.

Timely payments are crucial for maintaining a positive credit profile, while late payments may have adverse effects on the user’s creditworthiness.

As a result, you should be diligent in meeting your payment obligations to preserve and potentially enhance your credit standing.


Standalone Payment Plan Option

Citizens Pay is positioned as a standalone payment plan option distinct from the bank’s credit card offerings.

While it operates similarly to a credit card with its line of credit structure, it is presented as a specialized financing product tailored for specific purchases and transactions.

This distinction provides users with a targeted financing solution that aligns with their needs, whether it be for retail purchases or service transactions.

The standalone nature of the Citizens Pay line of credit highlights its role as a dedicated payment plan, offering users a convenient and tailored financing option beyond traditional credit cards.


Repayment Methods for Citizens Pay Line of Credit


To make payments for your due balance, you can use four methods that include:

Payments by Mail

Users can opt to make payments through traditional mail services. This involves sending a physical check or money order to the specified mailing address provided by Citizens Pay.

While this method may take some time to process, it offers a straightforward approach for those who prefer traditional payment channels.


Same Day Telephone Payments

Citizens Pay facilitates prompt payments through same-day telephone payments. This option allows users to make payments over the phone, ensuring timely settlement of their account balances.

This method is particularly useful for those who require a quick and efficient way to manage their payments.


Pay Online

The online payment option provides users with a convenient and secure platform to manage their Citizens Pay line of credit.

By accessing the online portal or app, users can make payments electronically using various payment methods, including credit/debit cards or electronic fund transfers.

Online payments offer the advantage of immediate processing and real-time account updates.


Electronic Fund Transfer

Citizens Pay allows users to initiate electronic fund transfers using the information from a check. If a user chooses to make a payment using a check, Citizens Bank is authorized to use the check details to process a one-time electronic fund transfer from the user’s checking or deposit account.

This method combines the familiarity of check transactions with the efficiency of electronic transfers, providing a seamless payment experience.


While the Citizens Pay line of credit adds an alternative to the options when it comes to utilizing buy now pay later services for shopping at well-known retailers, the high-spending power it assigns makes it worth it if you want to make high-ticket purchases hence, a good option for prime users but try to clear your bills by the due date to enjoy interest-free benefit.

Happiness Crew
Stay Glued!
You are the first in our research hence, we rallies around doing rigorous checks, testing and analysis to help you make a good decision on products and services. Meanwhile, items providers' final views are superior to ours.
0 0 votes
What do you think?
Notify of

Inline Feedbacks
View all comments