What is Spot by Citi, and how does it compare?

Citi will launch a buy now pay later platform in Australia this October despite plans to withdraw its banking services. Canstar compares how the interest free service will stack up against major players like Afterpay and Paypal.
Global bank Citi announced this week it would launch a new buy now pay later service in Australia this October, called Spot. It would be issued by Citi’s affiliate business Diners.
The news comes shortly after the major credit card lender announced in April that it would be removing its consumer banking services from Australia and some other markets.
Registrations are now open for Spot, for those interested in being the first to hear of the launch.
Anyone who registers by 22 September, 2021, and is approved to set up an account by 15 January, 2022, would receive a $25 e-Gift Card once they make a purchase of $50 or more within the first 30 days, and would go into the draw to win one of 10 $1,000 shopping vouchers (further terms and conditions apply).
It’s always worth considering whether buy now pay later is a suitable payment style for you, particularly given 2020 research from ASIC which showed many buy now pay later customers struggled to scrape together the funds to pay back these debts on time, missed payments for household bills, credit cards and mortgages, and even needed to cut back on meals.
What is Spot?
Spot is a buy now pay later service by Citi, available online for new customers or via the Citi mobile app for existing Citi customers from October 2021.
Spot was built by Citi but would be an entirely separate brand and issued by Citi’s affiliated company, Diners.
Australians would be the first of Citi’s customers to get access to Spot in what could be a worldwide rollout of the payment method if all goes well here.

How does Spot work?
Spot splits purchases into four fortnightly payments. Customers could choose to break down purchases of $200 or more even further into eight fortnightly payments for a flat fee of $10.
Approved customers could get access to a spend limit of up to $1,000 and add a Spot card to their digital wallets for spending anywhere Mastercard is accepted in Australia and abroad, online and in store.
Australians need to be 18 years or older to register for the buy now pay later service.
How much does Spot cost? Does it charge late fees?
Spot does not charge interest but it charges a $10 flat fee to split purchases of greater than $200 into eight fortnightly payments instead of four, if a customer chooses to extend the split.
The buy now pay later service would also charge late fees on some missed payments. Missed payments for purchases under $100 would have no fees attached, while a $10 late fee would be charged per missed payment for purchases of $100 or more. A Citi spokesperson told Canstar there was no cap on late fees at this stage, but the details of late fees were still being worked on in the lead up to Spot’s launch in October.
How does Spot compare to Afterpay and PayPal Pay in 4?
We took a look at how Spot* compares to Afterpay and PayPal Pay in 4 buy now pay later services, according to information currently available.
Repayment schedule
Spot | Afterpay | PayPal Pay in 4 |
---|---|---|
Pay in 4 fortnightly instalments | Pay in 4 fortnightly instalments (first instalment at time of purchase) |
Pay in 4 fortnightly instalments (first instalment at time of purchase) |
Ability to extend repayment schedule
Spot | Afterpay | PayPal Pay in 4 |
---|---|---|
Split purchases over $200 into eight repayments for a flat fee of $10 |
No | No |
Spending limit
Spot | Afterpay | PayPal Pay in 4 |
---|---|---|
$1,000 | From $600, increasing gradually based on good spending behaviour |
Eligible purchases ranging from $30 to $1,500 |
Availability
Spot | Afterpay | PayPal Pay in 4 |
---|---|---|
Accepted everywhere Mastercard is available |
Selected retailers | Selected merchants where PayPal is accepted |
Late payment fees
Spot | Afterpay | PayPal Pay in 4 |
---|---|---|
$10 per missed repayment on purchases above $100 |
$10, plus $7 if it remains unpaid seven days later per missed repayment (caps apply) |
No |
Special offers
Spot | Afterpay | PayPal Pay in 4 |
---|---|---|
$25 gift card & chance to win one of 10 $1,000 shopping sprees for early sign-up. |
$30 off when you refer a friend to Afterpay (they get $30 off too) |
– |
Source: www.canstar.com.au. Prepared on 5 August, 2021. See providers for full details on eligibility, terms and conditions. *Based on currently available information on Citi’s Spot product which will be released in October 2021. Details may change in the lead up to the release of the product.
This article was reviewed by our Deputy Editor Sean Callery and Sub Editor Tom Letts before it was updated, as part of our fact-checking process.
