Why Is My Afterpay Account Frozen?

New retailers working with AfterPay and Xero might experience a small amount of downtime, but the most common reason your account is frozen is that you’re late with a payment.

When you miss an Afterpay payment – even if you haven’t realized it – your account is suspended; it’s one of several aspects of how Afterpay works that try to prevent users from getting into financial difficulties. If there isn’t a transaction that appears to be overdue, the easiest way to unfreeze your account is to contact customer services. 

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Why Is My Afterpay Account Not Working?

There are a few potential reasons why your Afterpay app isn’t working, online or in-store. Scenarios in which Afterpay might lock an account include:

• Late payments;
• Changes in account information;
• Adding an invalid repayment credit card;
• Placing too many orders;
• Purchasing something outside of the Afterpay guidelines.

Frozen Afterpay accounts still accept repayments, but you can’t buy anything else until you’ve resolved the issue.

Missing a First Afterpay Payment

Afterpay will automatically freeze an account if the first payment isn’t made by the agreed date. The ‘buy now, pay later’ provider might also reject future transactions until all late fees and overdue balances have been settled. 

Late Afterpay Payments

Late remittances usually result in an immediate account freeze, particularly if you’re new to Afterpay and don’t have a solid repayment history. Fees are charged depending on how late the settlement is and the value of the transactions.

Changes to Account Details

When you edit your Afterpay account, for example, by adding a new ID, uploading new credit or debit card information, or changing your address, Afterpay may pause your account while they’re verifying the update. 

Queries Over Account Activity

You might find that your Afterpay account is frozen if there are transactions that catch the eye of the fraud detection team. Afterpay won’t lift the freeze until they’ve confirmed that all purchases recorded are genuine.

High Spending Activities

There are several limits on Afterpay, from overall account facilities to in-store pre-approval amounts and the volume of transactions you can have concurrently. If you appear to be spending excessively, Afterpay might freeze your account over concerns about responsible borrowing.

How to Unfreeze an Afterpay Account

The first step to unfreezing your account is to use the contact options on the Afterpay website and select ‘I need help to manage my account.’ You’ll get a series of instructions and options and will be able to enter the details in the message box to explain the issue and the transactions you’ve tried to use your Afterpay account for. 

Customer service will assess the issue and decide whether they have sufficient information to unfreeze the account. They might also respond with further questions if there are other queries about your transactions or account activity. 

Most Afterpay account suspensions remain until all overdue payments, plus late payments and capped penalties, are cleared. Users have a ten-day grace period in most cases but will have their accounts frozen from thereon if overdue remittances remain.

Logging into the Afterpay app and clearing past due installments with a manual payment should ensure everything is back up to date, and Afterpay can then unfreeze your account. 

Read our article and learn Do you need a Licence for Afterpay?