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How Sezzle Works for Buy Now Pay Later Purchases

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  • Post last modified:09.03.2024

Sezzle lets you enjoy buy now pay later purchases at several merchants with varying plans and a long-term option for up to 48 months.

The platform is one of the top buy now pay later services you can use for payment plan shopping, both online and when you visit your preferred retail outlets in-store.

While it is a top option for bad credit repair, its utilization of soft inquiry for eligibility checks means that applying for it will not have any real impact on your bureau profile.



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Tip: Sezzle lets you split your order costs into four equal payments to be repaid on a bi-weekly basis within six weeks with no hard credit check needed.


It is one of the top checkout financing options you can access when shopping online and it provides one of the best buy now pay later virtual cards that can be used not online on the web but when you visit a physical retail location including financing grocery purchases.

Popular for its payment activities reporting, you may be able to improve your credit score when using the platform since it reports to the major credit bureaus.


Read more about Sezzle

When you apply to use it for a payment plan, it only relies on a soft credit inquiry to determine the purchasing power to be assigned to your profile.

This inquiry is different from a hard check performed by credit card companies hence, applying to use the option will leave no real impact on your credit score.

It has one of the best virtual cards through Sezzle Anywhere which can be generated and used at your preferred shopping destinations whenever required.

This card can also be used offline at a store that supports tap-and-pay checkout by connecting it to one of the popular digital wallets.

While Anywhere is available to its premium users, there is a limited version you can generate for use in making payments at select retailers.

It also provides one of the best inventories of buy now pay later gift cards as an alternative channel to utilize its services for payment plans.

The platform does not only have pay-in-4 as there is also pay-in-2 which will charge you 50% of the order costs at checkout with the rest expected after two weeks.

You can also decide to pay in one go and this will enable you to earn up to 2% in Sezzle Spend, its cashback wallet.

Your earned reward can be used to settle part of your repayments hence, lowering how much will be debited from your connected payment method.

While Sezzle has a maximum spend limit of $1,500 for short-term financing, you can boost your chances to access higher value through its Payment Streak which is part of the free Sezzle Loyalty Tiers program.

The more on-time payments you make, the better your chances for an increased limit as you can move up your existing tier by consistently paying before the due date.

There is also a monthly payment plan option when using it for checkout and with this, you can access up to $15,000 with payments spread between 3 to 48 months.

One of the reasons it is one of the top buy now pay later services is the credit-building feature through payment reporting to the major bureau.

To enjoy this benefit, you do not need to upgrade to the premium user type because, with its free Sezzle Up, you have access to this with eligibility only through connecting your bank account for repayment, providing your SSN, and paying off at least one previous order.

Meanwhile, note that it can also have a negative impact if you default payments as this may not only affect your credit score (since it reports to the bureaus) but you may end up paying a penalty fee of up to $10.

Where to Use Sezzle for Checkout Financing


Some of the top stores that accept Sezzle for payment plans include:




To use Sezzle on Amazon, you will need to generate a virtual card or upgrade to Anywhere to have access to its card which can be used for buy now pay later on Amazon.

Droppin HZ

Droppin HZ

Droppin HZ is a specialized online store catering to car audio enthusiasts. The store offers an array of products, including speakers, subwoofers, amplifiers, wiring, batteries, and accessories, allowing customers to enhance their vehicle’s audio system for an improved listening experience.



Enrforce is an apparel and gear brand where you cannot only enjoy buy now pay later clothing but also qualify to win its gift items including a draw for a dream truck. The platform also sells vehicle accessories and personal care items.



TurntableLab is a renowned online retailer specializing in audio equipment, particularly turntables and vinyl-related accessories. The store caters to audiophiles and music enthusiasts, offering a curated selection of high-quality turntables, cartridges, vinyl records, and audio accessories for an enhanced listening experience.



Dronesset is a specialized online shopping destination offering boutique RC drones, Quadcopters, and RC helicopters. Catering to enthusiasts and hobbyists, the platform provides a curated selection of high-quality remote-controlled aerial vehicles for an enhanced and enjoyable flying experience.

Features Available On Sezzle

Below are some of the features you can utilize when using the Sezzle platform:


Spread Payments Up to 6 Weeks

As common to many of the buy now pay later apps, the platform allows you to enjoy spread payments for up to six weeks.

With a total of four payments, it is a bi-weekly financing method that can be used at several merchants both online and offline.


Multiple Payment Options

While Pay in 4 is its most popular checkout plan, there are other options you can access when using Sezzle for payment plan purchases.

There is the Pay in 2 available at some merchants for transactions not more than $500 in value. This option will help you build your creditworthiness on the platform which can lead to higher purchasing power.

You can also choose to Pay in 1, which is paying the full cart value at checkout. While this option is not for a payment plan, you can enjoy benefits, including earning cashback that can be used to settle part of any existing or subsequent Pay in 4 and Pay in 2 orders.


Soft Credit Check

The platform employs a soft credit inquiry as part of its application process, a credit-check mechanism that has minimal impact on an individual’s credit score.

Unlike a hard credit check, which can have a more substantial effect on the credit score, a soft inquiry provides Sezzle with an overview of your credit history without leaving a lasting mark on your financial record.

During the soft credit inquiry, the platform assesses your creditworthiness and financial behavior, considering factors such as existing debts and payment history.

This information is crucial for determining the purchasing power to be assigned to your profile, enabling Sezzle to establish suitable terms for the buy now, pay later arrangement.


Interest-free Financing

Using Sezzle to finance your orders is interest-free if you utilize shorter plan methods like Pay in 4 and Pay in 2.

These options are good for handling most small ticket essentials from electronics, furniture, and appliances, and even enjoying buy now pay later grocery shopping.


Sezzle Monthly Payment Plan

You can enjoy monthly payments when using the Sezzle platform for financing your purchases at many of its retail partners.

Thanks to its partnership with Bread Pay, the option can be used for handling orders starting from $150 up to a maximum of $15,000.

Because it is a long-term financing method, it comes with interest with an APR ranging from 0 to 34.99%.

In terms of length, you can spread the payments starting from three months to a maximum of 48 months.


Penalty for Default Payments

You should be aware that defaulting on payments with Sezzle can have negative consequences.

In addition to potential impacts on your credit score due to reporting to credit bureaus, there may be a penalty fee of up to $10 for missed or late payments.

You should always ensure your payment source has enough funds to handle any upcoming due installments to avoid paying this penalty fee.


Sezzle Defer Payments

The platform has a feature that allows users to reschedule their installment payments on active orders under certain conditions.

Each order automatically includes one free reschedule, and premium or Sezzle Anywhere subscribers may be eligible for two free reschedules.

You can move payments up to two weeks from their original due date without incurring fees or affecting your ability to place new orders.

However, rescheduled installments must be paid in full before you can place new orders.

When rescheduling a payment for the second or third time, a fee may be applied based on your state legislation.

This fee will be shown to you for approval during the rescheduling process and will be added to the payment amount.


Sezzle Virtual Card

The platform also offers a buy now pay later virtual card that can be used for payment plan purchases.

This card which can be generated when you want to make payments is a single-use version and eligible to be utilized at select retailers in the app, online, as well as when shopping offline.


Sezzle Anywhere

Sezzle Anywhere is a subscription-based service that enhances the utility of the platform by extending its features beyond online transactions.

With an active Anywhere subscription, you will gain the ability to utilize its virtual card not only for online purchases but also in physical retail locations.

This can be done via popular digital wallets such as Apple Pay or Google Pay, expanding the convenience of Sezzle to in-store shopping wherever Visa is accepted.

Key benefits of the Anywhere subscription include access to all the premium perks on the platform.

These perks include exclusive deals and discounts, the ability to buy and send gift cards, priority customer support, participation in the user referral program, and the opportunity to earn cash back in Sezzle Spend on eligible Pay-in-Full transactions.

Additionally, Sezzle Anywhere subscribers receive an extra reschedule option per order, providing added flexibility in managing payment schedules.

Furthermore, both Sezzle Anywhere and Sezzle Premium subscribers enjoy a monthly reward of $5 in Sezzle Spend, which can be utilized as cashback.

This monthly reward is granted each time the subscription renews and can be employed at specific merchants, offering users ongoing value for their membership.


Tap-and-Pay Checkout

You can use the platform for buy now pay later in-store if you have the Anywhere or premium membership.

The virtual card tied to your subscription can be used at almost all retail locations for payment plan purchases, including enjoying buy now pay later food at your choice restaurant or financing Walmart purchases and others.


Sezzle Spend

Sezzle Spend is a cashback program offered by the platform that provides users with the opportunity to earn rewards and use them to offset a portion of their due installments when using the option for payments.

This program is designed to incentivize users and enhance their overall experience.

There are multiple avenues through which users can accumulate cashback through the Sezzle Spend program:


Pay in 1 Option:

Users can earn cashback by choosing the Pay in 1 option when handling their payments.

By opting to pay the full amount upfront in a single transaction, users have the potential to earn up to 2% in cashback rewards.

This provides an immediate benefit for those who prefer settling their payments in one go.


Referral Program:

Referring friends to sign up for the platform is another way to earn cashback through Sezzle Spend.

When a referred friend successfully joins and starts using it for purchases, the referring user can receive cashback rewards as a thank-you gesture.

This not only benefits existing users but also helps expand its community.


Subscription Renewals:

Users who renew their premium or Anywhere subscriptions are eligible to earn cashback through Sezzle Spend.

The act of renewing these subscriptions is rewarded with cashback, providing an additional incentive for users to continue their subscriptions and enjoy premium benefits.


Gift Cards Inventory

It is one of the top destinations that offers gift cards as one of the means to enjoy split payments at your choice retailers including a collection of gift cards for buy now pay later groceries.

This may be a better channel to utilize your purchasing power for payment plan shopping and avoid any error with using the virtual card method.

There are many brands within its inventory and you can search for top retailers to get gift cards you can use to finalize your orders.


Up to a Maximum of Two Open Orders

There is a limit to the number of orders you can have in running when using the platform which cannot exceed two for all its premium members. For non-subscription-based users, your active order cannot exceed one.

When you have exhausted the maximum limit of open orders you can have, depending on your user type, any subsequent transaction will be declined until you pay off at least one of the open orders.


An Extensive Merchant Network

Despite providing multiple options to utilize its services for financing your purchases, many merchants accept Sezzle directly at checkout.

This means that you can access it at many of the websites where you can apply for buy now pay later and spread the costs of your order into flexible installments.


Good Spending Limit

Sezzle has a spending limit that starts from $20 to as high as $1,500 when using its short-term payment plans like the Pay in 4 and Pay in 2 options.

There is also the monthly payment plan which can be utilized for high-ticket order financing and this grants a spending limit that starts from $150 to a maximum of $15,000. This option is suitable for long-term financing as you can use it to spread payments for up to 48 months.


May Improve Your Credit Score

Sezzle’s credit-building feature is a valuable component designed to help users enhance their creditworthiness while enjoying the benefits of the buy now, pay later model.

This feature distinguishes the platform as not just a payment facilitator but also as a tool for improving one’s credit score.

Upon opting for its credit-building feature, you will gain the ability to have your payment activities reported to major credit bureaus.

This means that responsible and timely repayment of installment plans is documented and reflected in your credit history.

Importantly, this reporting occurs irrespective of whether you are a free Sezzle Up member or a premium subscriber, making credit-building accessible to a broader user base.

To activate this feature, you need to connect your bank account for repayment, provide your Social Security Number (SSN), and settle at least one prior order.


Sezzle Loyalty Tiers and Payment Streak

The platform offers a tiered loyalty program that rewards responsible financial behavior and consistent, on-time payments.

Sezzle Loyalty Tiers establish different levels based on user conduct, allowing them to progress through tiers by consistently meeting their payment obligations.

The program recognizes and rewards users who exhibit financial responsibility, providing added incentives as they ascend through the tiers.

Benefits include increased spending limits, exclusive promotions, and enhanced features, creating a sense of progression and value for users.

Frequently Asked Questions on Using Sezzle for Financing


Here are some frequently asked questions regarding the use of the platform for payment plan orders:

What is Sezzle?

It is a buy now pay later service that lets you enjoy installment purchases directly at retailers that have it at checkout, through its virtual card, or utilizing one of the gift cards in its collection.

The platform offers different payment plans including short-term options like the Pay in 4 and Pay in 2 with an alternative long-term monthly plan for high-value orders.

Does Sezzle check credit?

Yes, Sezzle will conduct a credit check when you apply for its financing options with eligibility determined through a soft inquiry which will not have much of an impact on your bureau score.

However, being approved for a successful purchase means that there will be a hard inquiry which can have a temporary impact on your credit score.

How many times can I use Sezzle?

You are limited to a maximum of two open orders if you are on the subscription membership plan.

However, every other user not signed up for the premium account can have a maximum of one active order.

You will be able to utilize it for new payment plans after repaying at least one of the open orders.

Does Sezzle affect your credit?

Yes, the option can affect your credit score both positively if you repay on-time and negatively when you do not pay your due installments.

It reports activities to the credit bureaus and depending on your use of the platform, you can either build your score or lower its standing.

How many payments is Sezzle?

It has different payment plan options and the number of payments is dependent on which you utilize for financing your purchases.

Below is the number of payments for each of its available plans:

1. Pay in 1: it is a full payment made upfront and this will earn your rewards in Sezzle Spend.

2. Pay in 2: with this, you will be able to spread the costs of your orders into two installments with 50% due upfront and the next two weeks later.

3. Pay in 4: this is a bi-weekly option also but you can utilize it to split the payments for up to six weeks in a total of four payments.

4. Sezzle Monthly: with this, you can spread payments on a monthly basis for up to 48 months

What is the highest limit for Sezzle?

The maximum limit you can access on Sezzle is based on the selected plan with the short-term options allowing up to a maximum of $1,500 while the long-term option can grant up to a limit of $15,000 per purchase.

Does Sezzle have a virtual card?

Yes, the platform offers a virtual card that can be used for making payments online and when you visit a physical retail station.

Can I pay off Sezzle early?

Yes, you can pay off your open orders early and build your credit history on the platform which can also affect your credit score when the platform reports payment activities.

Is Sezzle interest-free?

The short-term plans that include Pay in 2 and Pay in 4 are interest-free but the monthly financing option comes with an interest with its APR ranging from 0 to 34.99%.

What is the minimum amount to spend on Sezzle?

The minim amount you can spend when using Sezzle for payment is $20.

Why Sezzle has declined me?

If Sezzle has declined your usage of the platform, there could be several reasons for this decision:

1. Merchant Support: the specific merchant you are trying to make a purchase from may not be supported by Sezzle. Not all retailers are within its selection, and the option may not be available for use at certain establishments.

2. Purchasing Power Limit: your assigned purchasing power, determined by the platform based on your financial profile, may not cover the cost of the product you are attempting to purchase. Ensure that the product’s price aligns with your available purchasing power.

3. Exhausted Open Orders: if you have reached the maximum number of open orders allowed by the platform, you may be declined from making additional purchases until some of your existing orders are paid off.

4. Missed Payments and Default Status: if you have a history of missed payments or defaulting on orders, you may be placed in a safe state. During this period, you might be restricted from accessing its financing option until a certain duration has passed or outstanding issues are resolved.

5. Credit Profile Changes: it periodically conducts soft inquiries on your credit profile. If changes are detected that could impact your ability to use the service responsibly, such as negative alterations in your credit history, the platform may temporarily decline your access to the financing option.


There is no doubt the platform is one of the top options when it comes to buy now pay later financing.

However, while you can build your credit score by using Sezzle, it can have a negative impact if you do not close your open orders on time since it reports activities to the major credit bureaus.

Lois Samari
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