Zip

 

Zip is an Australian BNPL company founded in 2013, operating across Australia, New Zealand, and the United States under the Zip brand. It offers several distinct consumer payment products: Zip Pay, a revolving credit account for smaller purchases; Zip Money, a higher-limit credit account for purchases up to AUD $30,000; and Zip Pay in 4, which splits purchases into four interest-free instalments over six weeks. As of the most recent public data, Zip serves over 6 million active customers and 79,000 merchants across its core markets.

Zip’s product range is notably broader than the simple pay-in-four model that most BNPL providers offer. The combination of a revolving account structure, higher credit limits through Zip Money, and instalment options gives it more flexibility for higher-value purchases than Afterpay or standard BNPL competitors. This makes it particularly relevant for merchants in home goods, electronics, automotive accessories, and other categories where average order values exceed the typical BNPL sweet spot.

For Australian and New Zealand merchants, Zip holds approximately 21% user share of online payment methods in Australia, making it one of the top five online payment services in the country. Merchants report conversion uplifts from Zip acceptance, and the absence of hard credit checks is often cited as a factor in its higher approval rates for consumers who might otherwise be declined by more conservative BNPL underwriting.

On cost, Zip’s merchant fee structure is based on the interest-free period offered to customers, with a per-transaction cap of up to AUD $0.30, decreasing with higher volume. There are no setup fees, integration fees, or lock-in contracts. Exact percentage rates depend on product type and are agreed commercially.

Zip’s UK office was closed as part of a strategic refocus on core markets. European merchants are not currently a target market for direct Zip integration. For cross-border merchants selling into Australia and New Zealand, Zip is accessible via PPRO, which was the first infrastructure provider to add Zip as a supported Australian BNPL method. A Stripe partnership in the US has also expanded Zip’s reach for US-focused merchants.

Relevant markets: Australia, New Zealand, United States