In this article, you’ll learn more about: 

  • Scotia SelectPay is a credit card installment plan feature available on eligible Scotiabank Visa credit cards.
  • The installment plans under Scotia SelectPay are offered to eligible primary Scotiabank Visa credit cardholders when you shop at a participating merchant online or in-store, or after purchase using Scotia mobile app or Scotia online banking.
  • Scotia SelectPay offers a convenient and flexible way to pay off purchases on your eligible Scotiabank Visa credit card with several useful features, including  low interest rates and no fee with flexible payment plan periods.
  • Before using a credit card installment plan make sure you have a budget in place to ensure your payments are made on time and in full.

Learn how installment plans on credit cards, like those available from Scotiabank through its SelectPayTM plans – can help to provide a flexible way to pay for planned and unplanned purchases (during checkout or after purchase).

You may have seen terms like installment plans (sometimes referred to as buy now, pay later loans (BNPL) appear in your online search recently. You’ll likely see these terms used often, lately in online promotional materials, at checkout counters when you are making purchases, and with your online purchases.

According to a 2022 study, installment plans on credit cards and buy now, pay later loans (BNPL) are becoming increasingly popular. About one in seven Canadians have used them, and more than one in four express interest in using either payment method in the future.6

Scotia’s credit card installment plans are different from BNPLs that may be offered by other providers in that they’re not separate loans, and you don't have to apply for an installment plan under Scotia’s SelectPay. The SelectPay feature is available on eligible Scotiabank Visa* credit cards.

Keep reading to learn more about Scotia SelectPay, how it works and if it may be the right choice for you.

Installment plans and buy now, pay later loans (BNPL)

With Scotia SelectPay, the installment plan payment option is a feature included on your existing credit card, so you don’t need to do an additional application or credit check to take part, and they are available - both during checkout and after purchase – when you use your eligible Scotiabank Visa credit card to make the purchase. Note that not all Scotiabank credit cards include the installment plan feature but if they do, you may wish to consider one for your next purchase.  

There are different providers who offer installment plans, including banks, merchants, and retail companies – sometimes those plans are included on a credit card or sometimes these payment methods are separate and referred to as “buy now, pay later” loans (BNPL).  

Check what type of installment plan is offered on your credit card or by a provider you deal with as they may require a separate credit check or even an application. That is not the case with SelectPay installment plans from Scotiabank that are features of eligible Visa credit cards. 

More about Scotia SelectPay (key features)

With a Scotia SelectPay installment plan, you can convert eligible purchases made on your eligible Scotiabank credit card of $100 or more2 into monthly installment payments over a fixed period of time3 during checkout or after purchase. Plus, you'll pay a low installment interest rate on the plan (compared to the regular credit card interest rate that applies to purchases on your credit card). 

Payment options

SelectPay currently offers 3-, 6- or 12-month periods on installment plans4, allowing you to divide an eligible purchase into smaller amounts. This could be used to help you manage your debt for purchases you need to make.

• Use them online or in-store

Compared to other BNPL solutions, in particular those you may be offered from retailers, the Scotia SelectPay feature is included with your eligible Scotiabank credit card.  Other retailers may offer BNPL solutions as separate loans which means you have to apply for them and a credit check is required. 

With Scotia SelectPay, you can now choose to set up an installment plan at participating merchants during checkout - when you shop online or in-store or after the eligible purchase is posted to your Scotiabank credit card account, you can convert it through the Scotia mobile app or Scotia online banking. 

Scotia SelectPay features

As mentioned above, Scotia SelectPay installment plan offers some useful features, take a look at below:

Convenience of use

Scotia SelectPay installment plans can be accessed in three different ways:

  1. During checkout when you are shopping in-store, using the point of sale terminal. Note that this option is offered only at certain participating merchants.
  2. During checkout online when you are shopping, you just need to follow the prompts. However, this option is only available at certain participating online merchants.
  3. Through the Scotia app or online banking after you have made your purchase on your eligible Scotiabank credit card. If you decided after the purchase was made that you do want to convert that purchase to an installment plan, you can also set it up on an installment plan via your Scotia app or online banking.

Low Interest Rates

The installment interest rates vary by plan. Interest rates start at 5.99% for 3 months, 6.99% for 6 months and 7.99% for 12 months and there is no installment plan fee.2

Flexible payment option periods

3-, 6- or 12-month plans are available. 

Scotia app or Scotia online

These tools make it easy to set up and manage your installment plan through the Scotia app or Scotia online banking services when you choose to enroll your posted eligible purchase into an installment plan after you’ve made the purchase and it has posted to your Scotiabank credit card account.


If you have a Scotiabank credit card that earns rewards on purchases, you'll continue to earn rewards on the amount of the original purchase, even if you choose to convert it into an installment plan for payment.

No credit check and no new application

Since Scotia SelectPay is a feature available on eligible Scotiabank credit card accounts, there's no need to apply, or go through an additional credit check, to choose an installment plan. The feature is available on the following Scotiabank credit cards:·

Multiple installment plans

You can choose to set up one installment plan at a time or have multiple plans going at once. There may be a limit to how many plans you can set up at one time.

Easy to cancel

Finally, if you don't need your Scotia SelectPay plan anymore, you can cancel it at anytime using the Scotiabank app without cancellation penalties. The remaining balance will be re-applied to your Scotiabank credit card account and you can then pay the remaining balance on it like you do other purchases (at the interest rate that applies to your purchases).

You can learn more about all of these features on the Scotia SelectPay product page.

How does an installment plan like Scotia SelectPay work?

Let’s look at an example of when you might need to use an installment plan.

If you rely on your laptop for work or school and one day it just stops working, you don’t have much of a choice but to replace it. Unless you have the cash on hand, you’ll have to find a way to finance the purchase. Rather than charging the purchase to your credit card and trying to pay it off in full at the end of the first statement period (the end of that month when you purchased it), with a Scotia SelectPay plan, you can choose to convert that purchase into an installment plan. Perhaps, a 3-month period installment plan with a low interest rate of 5.99%.

Let’s say you bought a $1,200 laptop and converted it into a 3-month Scotia SelectPay installment plan with a low installment interest rate of 5.99% and no installment plan fee.

Your payments and interest for your Scotia SelectPay plan would be as follows:4

Month Monthly Installment Plan Payment
(Principal Amount + Accrued Interest)
Month 1 $404.00 $0.00
Month 2 $404.00 $8.27
Month 3 $403.01 $2.74
Total $1,211.01 $11.01

When should I use an installment plan like Scotia SelectPay?

There are certain situations, like the example above, when using a credit card installment plan can make sense. However, there are also scenarios where you may want to hold off and try to find another option. When considering if an installment plan for your credit card purchase is the right choice for you, you can ask yourself some of the questions listed below.

• Do I need to make this purchase now?

Before using your credit card to make a purchase, ask yourself: Can I pay for this now? Or is it possible to budget for the item, save up and buy it outright? If you have the money to purchase the item outright, this may be the best option. However, if you need to make a large or unexpected purchase in the short term, you can consider using an installment plan to help make the purchase without blowing your monthly budget.

• Can an installment plan help me save money on interest or manage my finances?

If you have the cash to pay for your purchase in full in the first month you make, then using an installment plan may not save you money on interest. You should have an interest-free grace period on purchases you make that first month if you can pay your balance on your credit card in full that month.

However, putting a purchase on an installment plan can help you manage your budget and you can use your extra cashflow to manage your finances. Plus, if the alternative is carrying a large balance on your credit card and paying interest at the regular interest rate that applies to purchases until you pay it off in full, then it might make more sense to use an installment plan. As with every financial decision, you'll need to crunch some numbers including the amount of the installment plan fee for the plan. 

• Can I pay my monthly installments on time?

Before using an installment plan on your credit card, consider if you have a plan in place to repay your installments on time and in full. 

If you miss an installment payment, the provider of that installment plan may charge you interest on the overdue payment so you may incur more interest charges on the unpaid balance (again, those will depend on the provider of the service) or your plan could be cancelled.

In the case of Scotia SelectPay, for example, if you miss a payment, currently your installment plan will be automatically cancelled, and the outstanding balance on your plan will be re-applied to your regular credit card balance. At this point, the re-applied balance will incur interest at the annual interest rate on purchases that applies to your Scotiabank credit card.  

So, evaluating if an installment plan is the right option for your financial situation is always a good thing to do.

• Will using a SelectPay Plan affect my credit score?

Another question that may come to mind when thinking about an installment option is how it may impact your credit score. It's a good question to ask, as making the right financial moves can help your credit score.

The good news is that converting an eligible purchase into a Scotia SelectPay plan won't affect your credit score by doing so.

Since you've already been approved for your eligible Scotiabank credit card, there's no need to go through another round of credit checks or approvals only for an installment plan through Scotia SelectPay. Your plan can be for the amount up to your available credit.

But remember that missing a Scotia SelectPay installment plan any month -- or any credit card payment for that matter with us -- could negatively impact your credit score.  Remember to always make sure that Scotiabank receives at least your minimum payments on time each month.

How to pay for eligible credit card purchases using installments

Once you've evaluated your financial situation and decided if an installment plan is the right move for you, you may be wondering “how do I use it?" 

With Scotia SelectPay, it’s an easy process (see below).

During Checkout Plans: During checkout, either online or in-store, follow these five simple steps to make your purchase with Scotia SelectPay credit card installment plan during checkout:

  1. Use your eligible Scotiabank credit card to pay for your purchase – as you would typically do - during checkout.
  2. If you want to convert your eligible purchase into fixed monthly installment payments, select "Installments."
  3. Choose a Scotia SelectPay installment plan from the options made available to you  (3-, 6- or 12-month plan periods) and review and agree to the SelectPay installment plan terms and conditions.  Note: Installment Plan options are enabled by Visa Canada. 
  4. Confirm the purchase you want to convert and follow the prompts on the screen. Your receipt will include your installment plan details.
  5. Once your purchase is posted to your Scotiabank credit card account (typically about 3-5 business days after your purchase), you can sign-in to the Scotia mobile app or your Scotia account online to see your plan status.

After Purchase Plans: You can also enroll in a SelectPay plan after you make a purchase on your eligible Scotiabank credit card account by logging into your Scotia app and following these steps:

  1. Select your eligible Scotiabank Visa credit card and tap the Scotia SelectPay icon.
  2. Choose the eligible purchase you want to convert into a SelectPay plan.
  3. Choose a Scotia SelectPay installment plan (3-, 6- or 12-month plan) and review the applicable fees and/or interest.
  4. Review and agree to the SelectPay Terms and Conditions.
  5. Swipe right on the enroll button, and you're done.
  6. Check your Scotia online banking site or Scotia mobile app for your plan status.


Installment plans, like the Scotia SelectPay, may offer you a convenient and flexible way to pay for eligible purchases over $100. However, like any financial decision, you have to consider whether this option is the right choice for you, based on your personal financial situation and spending habits. An installment plan can be a very useful financial tool; but, like any balance on your credit card, you need to make sure you have a plan in place to pay your installment plans on time and in full.

Ready to get your finances on track for your future? Come in and speak to a Scotia advisor today