PayPal launches Pay in 4 for in-store shopping in Australia

PayPal has introduced its Pay in 4 service for in-store purchases at selected Australian retailers, including The Good Guys. The rollout is the product's first use at physical points of sale in Australia.

The service is being enabled through a partnership with Quest Payment Systems, whose payment terminals are used by a range of Australian retailers. At participating stores, customers can choose PayPal at checkout, scan a QR code displayed on the terminal with their phone, log in to PayPal and, if eligible and approved, complete the purchase using Pay in 4.

Pay in 4 lets customers split eligible purchases into four interest-free payments and carries no late fees, according to PayPal. The move brings a payment option already used online into bricks-and-mortar retail.

The Good Guys is among the first national chains to offer the service in-store. Quest says its terminals are also used by merchants including Coles Group, Australia Post, Aldi, Chemist Warehouse and BP.

Retail rollout

The launch gives PayPal a direct route into Australian in-store payments, where it has had a much smaller presence than in online checkout. By integrating the service with Quest terminals, PayPal is entering a payment flow that begins at the shop counter rather than in an app or web browser.

The process requires customers to use their phone during checkout rather than tap a card or device on the terminal. After the QR code is scanned and the customer logs in, the terminal receives confirmation and the transaction is completed in-store.

PayPal Australia has more than 9.5 million active customer accounts in the country. The business described the in-store launch as the first step in a broader expansion of Pay in 4 through physical points of sale.

Quest is an Australian-owned payments technology provider that manufactures payment terminal hardware locally. Its established retail relationships could help PayPal extend the service across a wider merchant base if uptake is strong.

Consumer demand

The move comes as buy now, pay later products remain widely used by Australian shoppers, particularly for larger purchases. Research cited by PayPal found that 26% of Australians use BNPL services.

Among those users, 60% said they use BNPL to spread the cost of larger purchases, while 56% said it helps them manage their budget and cash flow. Another 45% said they use it to deal with cost-of-living pressures, and 42% said it offers more flexibility than other forms of credit.

For retailers, adding BNPL at the till could give customers another option when considering higher-value items such as appliances and electronics. The Good Guys, a major seller of household goods and consumer technology, is an obvious testing ground for the service.

"Australian consumers value flexibility at checkout. PayPal Pay in 4 has become a popular choice for millions online, and we're pleased to now extend that same trusted, interest-free, no-late-fee BNPL service to in-store purchases through our partnership with Quest Payment Systems," said Simon Banks, Managing director, PayPal Australia.

The companies presented the launch as a way to bring digital credit options into physical stores through existing terminal infrastructure. That allows merchants using Quest hardware to add the payment option without replacing the checkout environment altogether.

"This collaboration with PayPal demonstrates how innovation in payments technology can expand consumer choice at the checkout. By enabling access to PayPal Pay Later through Quest terminals, we're helping retailers offer flexible, digital-first in-store credit options within the physical store environment," Luke Fuller, Chief product officer, Quest Payment Systems, said.