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Accept In-Person Payments with Afterpay and Square

Afterpay is a buy now, pay later (BNPL) payment method that allows customers to pay in four interest-free installments over six weeks. Merchants get paid in full—immediately.

Afterpay in-person acceptance is currently available with:

Compatible Hardware

Your Square hardware—including Square Register, Square Terminal, Square Stand and Square Reader for contactless and chip—will allow customers to pay for in-person goods and services using their Afterpay Card via Apple Pay and Google Pay.

Set up is easy—your Square hardware will automatically be set up so your customers can pay for in-person goods or services as soon as Afterpay is enabled from your online Square Dashboard. No additional integration or hardware setup is required. 

Pricing

Square sellers using Afterpay get paid the full amount at the time of purchase, minus a processing fee on the total order. Enabling Afterpay with Square is free—there are no monthly fees or startup costs. You only pay when you make a sale. There are no processing fees charged on the remaining installments or if your customer makes a late payment.

Promotion: Payments processed in person will have a discounted processing rate of 2.6% + 30 cents through Sept 10, 2022. After this promotional period, Afterpay processing rates will be 6% + 30 cents.

Note: Afterpay rates are fixed and do not vary by subscription type, hardware, or custom pricing.

Eligibility

To see if you are eligible for Afterpay and Square, log into your online Square Dashboard and review your Payment Methods.

Eligibility for Afterpay is dependent on numerous factors, including how your business is structured and what you sell:

  • Sellers must be in an approved merchant category

  • Sellers must be based in the United States or Australia

  • Sellers cannot have multiple Tax Identification Numbers (TINs)

If Afterpay is available to your business, you can toggle on Afterpay acceptance both Online and In-person from within this setting. If you are listed as Ineligible, you cannot accept payments using Afterpay at this time.

We are working to expand Afterpay availability over time to allow more sellers to accept Afterpay within their business. Review our Afterpay Merchant Terms for more information.

Enable or Disable Afterpay

You can enable or disable Afterpay at any time by toggling In-person on/off via your Payment Methods settings.

Square Dashboard

  1. Go to Account & Settings from your online Square Dashboard.
  2. Click Business > Payment Methods.
  3. Next to the Afterpay payment method, click ••• then Edit settings.
  4. Toggle the In-Person setting on/off.

Note: Once you’ve enabled Afterpay in-person, customers can pay via their Afterpay Card on Square POS, Appointments POS, Retail POS, and Restaurants POS.

Square Dashboard - Account Settings - Payment Methods - AU

Square App

To enable or disable Afterpay for in-person transactions on Square POS app and Square Appointments app, you can enable/disable Afterpay directly from your app or online Square Dashboard.

From your Square POS app or Square Appointments app:

  1. Tap ≡ More > Settings > Checkout > Payment.
  2. Under All payment types, tap Configure Afterpay. You will be directed to your dashboard via a web browser.
  3. Toggle the In-person setting on/off.

If you’re using Square for Retail POS, Square for Restaurants POS or Virtual Terminal, visit the Payment Methods setting from your online Square Dashboard to enable/disable Afterpay.

Square POS App - Settings - Payment - Afterpay - AU

Accept Afterpay In-Person

Once you've enabled Afterpay, you can accept payments as you normally would with a card, cash, or other payment option.

  1. Add items to cart or enter a custom amount. The total transaction must be between $1.00 and $2,000.

  2. Tap Review sale > Charge.

  3. The customer can open their digital Afterpay Card and simply tap their mobile device to your Square Reader, Square Terminal, Square Stand, or Square Register.

  4. Send a digital receipt via SMS or email or print the receipt as proof of purchase. The customer will also see the transaction via their Afterpay app starting with SQ*.

Note: Your customer can also pay via the Afterpay App. To do so, the customer must tap open the Afterpay app, then tap In-Store > Pay in-store > Pay in-store with Afterpay Card.

Refund Afterpay Transactions

If the customer completed a payment using Afterpay Card and Square hardware, you can issue a full or partial refund within one year of the original transaction date. Learn more about how refunds and returns work at Afterpay via their website.

Full Refunds

If you have returned an order in its entirety and the full amount of the order is refunded, any upcoming payments will be cancelled and any payments you have already made will be refunded back to the card you paid with.

Partial Refund Example

The same principles apply if you’ve returned a portion of an order and received a partial refund. Let’s use the below example to show how this works.

Order #123456 totalled $100, and the first payment of $25 was made at the time of purchase.

Order #123456 $100 Payment Status
First payment $25 PAID
Second payment $25 Due in 2 weeks
Third payment $25 Due in 4 weeks
Fourth payment $25 Due in 6 weeks

The order total was $100 & a refund of $80 was processed.

However, prior to the second payment being made, items totalling $80 were returned. After the $80 refund was processed, the second, third, and fourth payments were cancelled. Additionally, the first payment was retroactively adjusted to $20 and the $5 balance was refunded back to the original card the payment was made with.

Order #123456 $100 Payment Status
First payment $25 Adjusted to $20, refund $5 back to card
Second payment $25 Cancelled
Third payment $25 Cancelled
Fourth payment $25 Cancelled

Learn more about processing refunds via the Square POS app or your online Square Dashboard.

Afterpay and Square FAQ

Learn more about processing Afterpay via our Square Online FAQ or In-Person FAQ.

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