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Does Shop Pay Affect Your Credit Score?
July 1, 2025
The content on this page is accurate as of the posting date; however, some of the offers mentioned may have expired.
Quick Answers
- Using Shop Pay as a checkout tool doesn't affect your credit score, because it simply stores your payment and shipping details.
- Shop Pay Installments are loans from Affirm. Shopify says Affirm uses a soft credit check to see if you qualify, which doesn't affect your score.
- Once you take out an installment plan, Shopify says Affirm reports your payment history to Experian and TransUnion. Late payments can hurt your credit.
What Is Shop Pay?
Shop Pay is Shopify's accelerated checkout. It saves your email, shipping address, and card details so you can check out faster at stores that use Shopify.
Shop Pay Installments is a separate buy now, pay later option offered in partnership with Affirm. Shopify says it lets you pay in 4 interest-free payments or in monthly installments for up to 12 months, with monthly plans carrying an APR from 0% to 36% depending on your credit.
How Shop Pay Installments Can Affect Your Credit
The checkout tool itself never touches your credit. Installment plans can, in a few steps.
- Credit check: Affirm runs a soft inquiry to decide whether you qualify. A soft inquiry doesn't affect your credit score.
- Account reporting: After you take out a plan, Affirm reports your payment history to Experian and TransUnion. Shopify notes it may take 30 to 60 days to appear on your credit report.
- Payment history: On-time payments add positive history to those reports. Shopify says Affirm may report a payment to the bureaus once it is 30 days past due, and a late payment can stay on your report for up to seven years.
Our guide to hard vs. soft credit inquiries explains the difference in more detail.
How Much Will Shop Pay Affect Your Credit Score?
For now, possibly very little. When Affirm expanded its reporting in 2025, it said this buy now, pay later data would not be factored into traditional credit scores in the near term. Lenders and scoring models may use it more in the future.
- Checkout only: No effect on your credit.
- On-time installment payments: Reported to Experian and TransUnion, but may not be counted in traditional scores yet.
- Late payments: Can be reported once 30 days past due and can damage your credit history.
How to Keep Shop Pay From Hurting Your Credit
Pay on Time
Late payments are what cause real damage. Set up autopay with Affirm or calendar reminders for every due date.
Know Which Option You Chose
Shop Pay checkout is just a payment method, while Shop Pay Installments is a loan. Check which one you selected before you confirm an order.
Keep Plans Manageable
Several installment plans at once can be hard to track. Only take on payments you can comfortably cover, and compare the cost against paying with a credit card you pay in full.
Ways to Improve Your Credit Score
Whether or not you use Shop Pay Installments, a few habits move your score the most. Our guide on how to improve your credit score covers each in depth.
- Pay on time. Payment history makes up 35% of a FICO Score.
- Keep balances low. Amounts owed make up 30% of a FICO Score, so paying down card balances helps.
- Check your reports. Get free reports at AnnualCreditReport.com and dispute any errors.
- Limit new applications. Each hard inquiry can lower your score slightly for a short time.
The Bottom Line
Shop Pay checkout won't affect your credit. Shop Pay Installments are Affirm loans that are reported to Experian and TransUnion, so pay on time to keep them from hurting your credit.
If you prefer a credit card at checkout, Kudos is a free browser extension and app that recommends the card in your wallet that earns the most at each store. With Kudos Premium, it can also auto-activate eligible card-linked offers. You can sign up for free in a few minutes. For more on how buy now, pay later compares with rewards cards, see BNPL vs. credit card rewards.
Frequently Asked Questions
Does Shop Pay Installments do a credit check?
Yes. Shopify says Affirm performs a soft credit check to determine whether you qualify, which doesn't affect your credit score.
Will paying off Shop Pay Installments early help my credit?
Paying early saves you interest on monthly plans that carry an APR. For your credit, consistent on-time payments matter more than paying early.
What happens if I pay Shop Pay Installments late?
Shopify says Affirm may report a payment to the credit bureaus once it is 30 days past due, and the late payment can stay on your report for up to seven years.
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