Affirm (NASDAQ: AFRM) and Shopify (NASDAQ: SHOP) have expanded their long-running collaboration by introducing Shop Pay Installments to Australia, giving local Shopify merchants a new way to offer pay-over-time options at checkout. The product is powered exclusively by Affirm and is accessed through the familiar Shop Pay button already used by millions of shoppers worldwide.
The rollout, announced on August 27, 2026, is described as Affirm’s return to the Australian market.
Shop Pay Installments first appeared in 2021 and has since become one of Shopify’s most widely used payment tools in the United States, Canada, and the United Kingdom, supporting billions of dollars in purchases. Australia is now the latest market in that international expansion.
Eligible Australian customers can divide a purchase into fortnightly or monthly installments.
After a real-time credit assessment, they can select either an interest-free plan or an interest-bearing plan and see the full repayment amount before they confirm the order.
Affirm underwrites each transaction individually and approves only those shoppers it determines can repay.
The company says it does not charge late fees, account fees, or compounding interest, so its commercial success depends on customers completing their payments.
Shopify executives framed the launch as an extension of Shop Pay’s existing strengths.
The checkout is already used by more than 250 million buyers globally and is often described as one of the highest-converting checkout experiences available.
Adding installment options in Australia is intended to give merchants more flexibility and to meet shoppers who prefer to spread costs rather than pay in a single transaction.
Affirm’s Australia country leadership similarly emphasized transparent terms and the absence of late fees.
For merchants, setup is designed to be straightforward. Shop Pay Installments can be enabled through the Shopify admin dashboard in a few clicks.
The companies say the feature can help businesses of different sizes improve conversion rates and increase average order values.
In North America, more than 90 percent of Affirm purchases come from returning customers, a figure the firms cite as evidence that a clear, predictable experience encourages repeat use.
Credit in Australia is provided by Affirm Australia Pty Ltd, which holds an Australian Credit Licence.
Availability depends on eligibility, assessment, and approval. Interest, when applicable, is disclosed in advance.
Payment options can vary by merchant and purchase amount.
Shop Pay Installments is offered through Shopify as a credit representative of Affirm Australia, and standard terms and conditions apply.
The Australian launch fits a broader pattern.
Affirm and Shopify have already taken Shop Pay Installments beyond the United States and have signaled plans to continue expanding into additional markets where merchants and consumers want transparent pay-later tools.
For Australian retailers already on Shopify, the new option adds another checkout choice without requiring a separate integration. For shoppers, it introduces a structured way to pay over time inside a checkout flow many already recognize.