Managing your Shopify Credit account
Shopify Credit is a pay-in-full business credit card, requiring full payment of the statement balance within 10 months by the due date to keep your account in good standing. This article outlines account management tasks, including viewing statements, making payments, and handling bank account changes.
On this page
Overview of Shopify Credit
On the Credit page of your Shopify admin, you can complete the following tasks:
- view account activity
- access monthly statements
- make payments
There are no interest charges or fees with Shopify Credit, and you can earn cashback on eligible purchases, which is automatically applied to your Shopify Credit account as statement credits.
Statement grace period
Each statement period is followed by a 1 calendar-month grace period. Similar to traditional credit cards, when you repay your full statement balance within the grace period, you won't pay fees or repay your statement balance from daily sales.
By default, you’re opted into paying the full statement balance on the last business day of the grace period.
Payment options
By default, you’re opted into paying the full statement balance within 1 calendar month by an automatic debit from your linked bank account. This ensures you can avoid fees and maximize spending up to your credit limit.
If you need more time, then you can change your auto-pay direct debit settings to make daily payments, and take up to 10 months to pay your statement balance for a fee. We automatically debit a percentage of your daily sales, as defined in your agreement, on each business day after the statement grace period until your balance is paid in full. Both the statement fee and daily payments are deducted automatically from sales.
Carrying a past-due balance at the end of the 10 month repayment period results in the locking of your Credit account and a 2% monthly late fee applied to the balance.
Automatic payment details
Your Shopify Credit payments are automatically debited from the bank account connected to your Shopify Payments on the payment due date each month. You don't need to take any action on the payment due date but you need to ensure that sufficient funds are available to avoid issues. Learn about the consequences of non-payment.
Make a manual payment
As the primary cardholder, you can make a manual payment of any amount towards your outstanding balance at any time. For example, you can choose one of the following payment amounts:
- Minimum payment due: Covers the most recent statement.
- Outstanding balance: Pays the full balance.
- Other: Enter a custom amount.
Payments made during the 25-day grace period apply towards your most recent statement balance first, and then your current statement balance. Any amount outstanding at the end of the float period is automatically debited from your connected bank account.
If the manual payment is submitted by 2:00 pm EST, then it typically takes 3 business days for the payment to display on your Shopify Credit account. If a payment is initiated after this time, then it might not be processed until the following business day, resulting in a slight delay before it's posted in your Shopify Credit account.
Steps:
- In your Shopify admin, go to Finance > Credit.
- In the Payments summary section, click Make a payment.
- Select the payment amount by taking one of the following actions:
- To pay the amount owed for your most recent statement, select the amount with the Minimum payment due indicator.
- To pay the full balance, select the amount with the Outstanding balance indicator.
- To pay a different amount than the full balance, select Other, and then enter the amount to pay.
- Review your connected bank account to ensure that it's accurate.
- Review the details of your payment in the Summary section, and then click Submit.
Statement fees
The statement fee is calculated based on your total new spend during a statement period and the statement fee rate as defined in your agreement. The total amount you’ll need to repay during the 10 month repayment period, known as your statement balance, is equal to your total new spend during a statement period plus the statement fee.
The full statement balance is debited from a percentage of your daily sales. You can make manual payments at any time.
If you pay your statement balance in full before the 10-month due date, then you might be eligible for a fee discount. You can view your agreement terms and available discounts at any time in your Credit account in the Shopify admin.
By default, you’re opted into paying the full statement balance within 1 calendar month by an automatic debit from your linked bank account. By paying the balance in full within 1 calendar month, an 11% statement fee is completely waived.
If you need more time, then you can change your auto-pay direct debit settings to make daily payments, and take up to 10 months to pay your statement balance for an 11% fee.
In addition to the statement fee, your statement balance is subject to a 2% monthly late fee on any past-due balances when you fail to pay your balance in full by the 10-month repayment due date. To avoid a monthly late fee, if your daily sales are insufficient to repay in full within 10 months, then can you make a manual payment.
Shopify Credit has no annual fees and no foreign transaction fees.
View your Shopify Credit monthly statements
If you're the primary cardholder, or a staff account with the View all Shopify Credit account activity and the Manage payment settings staff permissions, then you can view monthly account statements. These statements are also emailed monthly to the primary account holder on file. Secondary cardholders can't view monthly statements.
Your monthly statement includes important information about your account, including a summary of all spend, payments, credits, and refunds that occurred on your account within the monthly statement period. It also includes details about your minimum payment due as well as the associated due date:
Steps:
- In your Shopify admin, go to Finance > Credit.
- Click View statements.
- Select a statement to view.
Change your payout account
Payments towards your Shopify Credit business card are taken from the account that's connected to your Shopify Payments account. To change the account that you use with Shopify Credit, change the bank account that you use with Shopify Payments.
Consequences of non-payment
Shopify Credit operates as a pay-in-full charge card, requiring the statement balance to be settled in full each month. Consistently failing to clear your Shopify Credit balance by the due date could affect your eligibility to use this product. Non-payment will lead to your card being locked and may limit your access to additional financial services offered by Shopify.
When you fail to pay your statement balance in full, it triggers a series of actions that impact your account status and payment processes:
- Delinquency and card locking: If you fail to make a full payment, then you enter a state of delinquency and your Shopify Credit charge card is locked. This means that you can't make further purchases on the card until your balance is repaid in full. As a result, no further automatic payments towards the full balance are processed, which might affect your account status.
- Automatic payments based on daily sales: Payments are automatically deducted from your account based on your daily sales volume and used towards your statement balance. These automatic payments are calculated based on your daily sales volume.
- Manual payment and recovery process: Despite the delinquency status, you can and are encouraged to make manual payments to resolve your outstanding balance. By making manual payments, including partial payments, you can work towards resolving the outstanding balance and unlocking your account sooner.
- Account unlocking and payment resumption: After the outstanding balance is fully paid, your Shopify Credit account is unlocked and your payment schedule returns to normal.