Gumtree Australia adds PayPal Pay in 4 for flexible payments
Gumtree Australia has introduced PayPal Pay in 4 to its customers, offering a new buy now pay later (BNPL) option through its Gumtree Pay platform.
The new payment feature will enable buyers to choose PayPal Pay in 4 at checkout, splitting their payment for purchases into four fortnightly instalments. The instalments are interest-free and do not incur late fees, a development aimed at supporting customers looking to manage their expenses over time.
Gumtree's move comes as cost-of-living pressures prompt more Australians to purchase pre-owned goods. Findings from the PayPal 2025 eCommerce Index indicate that 64% of Australians buy second-hand items to make their budgets go further. The items most commonly bought pre-owned are books, DVDs, CDs and vinyl, at 51%, furniture at 45%, clothing and fashion at 41%, homewares at 31%, and collectibles at 30%.
The same research shows that more than half of Australian BNPL users find these services helpful for managing financial stress, with 51% stating that BNPL options like PayPal Pay in 4 assist them in this regard. The addition of PayPal Pay in 4 comes at a time when sustainable and economical shopping is increasingly important for consumers.
Customer convenience
According to Tommy Logtenberg, Chief Executive Officer of Gumtree Australia, launching Gumtree Pay was a significant step for the platform in making transactions safer and more user-friendly. He said:
"In May, we launched Gumtree Pay – an Australian-first innovation. Gumtree Pay makes it easier for Australians to buy and sell items using their preferred payment methods, while avoiding the hassle of cash. With PayPal being a favourite among Aussies, adding it to our payment options is a huge win for our users. PayPal's Pay in 4 is yet another exciting feature that offers greater flexibility and convenience. This launch underscores our commitment to offering solutions that make shopping on Gumtree smarter, safer, and more seamless for Australians."
The addition of PayPal Pay in 4 expands the range of payment choices available to Gumtree users. Customers are now able to use this service for eligible purchases up to AUD $2,000, subject to PayPal's eligibility and suitability assessments. The flexibility comes without the risk of incurring interest or late fees, features often cited as important to BNPL customers.
Collaboration with PayPal
Simon Banks, Managing Director at PayPal Australia, explained that the new feature is intended to align with changing shopping preferences and the growing popularity of second-hand goods. He said:
"We're excited to partner with Gumtree and introduce PayPal Pay in 4 as a standalone payment option at checkout for their customers. Australians are increasingly choosing second-hand shopping as a smarter, more environmentally friendly option. With PayPal Pay in 4 now available on Gumtree's marketplace, we're helping buyers manage larger purchases more comfortably, making second-hand shopping not just affordable, but even more accessible."
The partnership between Gumtree and PayPal is designed to make high-value purchases on the platform more practical for buyers who prefer to spread costs over multiple payments, without the need for credit cards or traditional financing options.
PayPal has been present in the Australian market since 2005 and currently boasts more than 9.5 million active Australian customer accounts. The introduction of its Pay in 4 facility on Gumtree follows broader trends seen among its users who are seeking greater control over payments, as well as a preference for contactless and digital transaction options.
Gumtree continues to operate as part of the Gumtree Group, which connects buyers and sellers throughout Australia and works alongside CarsGuide and Autotrader. Through these platforms, Gumtree Group reaches more than five million Australians each month with over two million live listings.
