What is Perpay+
Perpay+ is a credit-building product that’s designed to help you establish and grow your credit history in a simple, low-cost way.
When you enroll in Perpay+, you’ll receive up to a $1,000 spending limit for the Perpay Marketplace. This spending limit is then reported to the three major credit bureaus: Experian®, Equifax®, and TransUnion®.
Perpay+ works differently from many traditional credit products. Instead of using traditional payment methods, all payments are made directly from your paycheck. This structure helps automate your payments and reduce the risk of missed payments.
How to build credit with Perpay+
Perpay+ helps you build credit by lowering your credit utilization and increasing the available credit and depth of credit on your credit report. To get started, simply create a Perpay account, connect your payroll, and complete your enrollment by setting up a recurring direct deposit of at least $5 per month.
Connecting your payroll enables the credit reporting that helps you build your score, and ensures that payments are made automatically so you don’t have to stress about due dates. When you enroll in Perpay+, your spending limit is reported to the three major credit bureaus: Experian®, Equifax®, and TransUnion®.
Once approved, you can shop on the Perpay Marketplace using your spending limit, and purchase products that you want. Instead of paying the full price upfront, the cost is divided into smaller, interest-free payments through payroll direct deposit. Consistent on-time payments help establish a positive payment history, which can support your credit score improvement over time. On average, Perpay+ members see a credit score increase of 30+ points.*
Perpay+
Perpay+
Perpay+ is a simple, affordable credit-building product designed to help members build credit over time. Payments are made automatically through payroll direct deposit so you can build credit stress-free. Members see an average 30-point increase.
Standout feature
Access up to $1,000 in spending power
Fees
$5/mo
Pros
0% APR; No credit check; Reports to all 3 major credit bureaus
Cons
Requires employment
What is the cost of Perpay+?
Perpay+ costs $5 per month. To access Perpay+, you must set up a small payroll direct deposit to your Perpay account. Once this is set up, your payment is processed automatically, so you do not need to manually make payments each month.
- The $5 monthly cost is conveniently aligned with your pay cycle:
- Weekly paycycle: you pay about $1.16 per paycheck.
- Biweekly paycycle: you pay about $2.31 per paycheck.
- Semi-monthly paycycle: you pay about $2.50 per paycheck.
- Monthly paycycle: you pay $5 per paycheck.
Because the payment happens through payroll direct deposit, the process is automatic and requires little maintenance, helping you build your credit score with an ease of mind. You are always in control of your payments – Perpay does not have the ability to make changes to your payroll.
Pros and Cons of Perpay+
Pros
- Build your credit safely with the three major credit bureaus.
- Automatic payroll payments help you reduce the risk of missed payments.
- No hard credit check with the major credit bureaus when you apply.**
- Shop from over 1,000 top brands using your available spending limit.
- Monitor your credit progress directly in the Perpay dashboard.
Cons
- Requires you have consistent employment.
How to apply for Perpay+
Follow these steps to complete your application:
Step 1: Create an account. Enroll in Perpay+ on the website or mobile app. There is no hard credit check with the major credit bureaus when you apply. Once approved, receive your spending limit up to $1,000.
Step 2: Connect your payroll. Set up a recurring direct deposit of $5/month. Your spending limit will be reported to all three major credit bureaus: Experian®, Equifax®, and TransUnion®
Step 3: Watch your score increase. Over time, Perpay+ can help you improve your credit score by reporting your spending limit and payment history.
Perpay+
Perpay+
Perpay+ is a simple, affordable credit-building product designed to help members build credit over time. Payments are made automatically through payroll direct deposit so you can build credit stress-free. Members see an average 30-point increase.
Standout feature
Access up to $1,000 in spending power
Fees
$5/mo
Pros
0% APR; No credit check; Reports to all 3 major credit bureaus
Cons
Requires employment
Alternatives to Perpay+ to help you build credit
Many credit-building tools use different methods, such as secured cards, installment loans, or credit monitoring. Below are two alternative credit-building tools:
- Magnum by Credit Strong - This is an installment account that requires you to pay at least $30 per month, depending on your line. You can build between $2,000 and $25,000 of installment history with payments starting around $30 per month. This may be a good option if you have the cash on hand, though you will have to pay interest, unlike Perpay+.
- Kikoff - This service offers a credit account with a reported line of about $750. Similar to Perpay+, you can use this line to shop in their store, though their selection is limited to educational courses rather than the name brand items and everyday essentials that are available on Perpay. Unlike Perpay+, Kikoff asks for monthly payments through your debit card or bank account rather than direct deposit.
FAQ
1. Do I have to make a purchase on the Perpay Marketplace to benefit from Perpay+?
No, you can have your spending limit reported to the credit bureaus without purchasing from the Perpay Marketplace. If you choose to make a purchase on the Perpay Marketplace, your on-time payment history will also be reported to the credit bureaus, adding another credit factor to your credit profile.
2. Is Perpay+ related to the Perpay Credit Card?
They are separate products. Perpay+ focuses on reporting your spending limit to the major credit bureaus for $5/month. The Perpay Credit Card is a separate product that allows spending outside of the Perpay Marketplace.
3. Which credit bureaus does Perpay+ report to?
According to available documentation referenced in this Perpay+ Review, Perpay reports to the three major credit bureaus: Experian, Equifax, and TransUnion.
4. How long does it take for Perpay+ to show on my credit report?
Once you connect your payroll, your spending limit will be reported to the bureaus within 30 days.
5. Why do I need to connect my payroll direct deposit to access Perpay+?
Payroll connection is a key requirement discussed in this Perpay+ Review. Perpay uses payroll direct deposit to help you automate repayment. This structure helps ensure your payments occur on time and supports the credit reporting process.
Perpay+
Perpay+
Perpay+ is a simple, affordable credit-building product designed to help members build credit over time. Payments are made automatically through payroll direct deposit so you can build credit stress-free. Members see an average 30-point increase.
Standout feature
Access up to $1,000 in spending power
Fees
$5/mo
Pros
0% APR; No credit check; Reports to all 3 major credit bureaus
Cons
Requires employment
Final thoughts
Perpay+ helps you build credit by reporting your spending limit to all three major credit bureaus. All payments are made through payroll direct deposit, which helps you reduce the risk of missed payments.
If you have a limited credit history, Perpay+ offers a simple, safe, and affordable way to start building credit. It also provides access to spending power of up to $1,000 to use on the Perpay Marketplace. Perpay+ is one of the best credit-building product to help you build credit.
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Disclaimer:
*The credit score (VantageScore 4.0) increase of 30+ Points is based on the average of approximately 50,000 Perpay+ customers with a baseline credit score of 550 or below during the first year of reporting. The same group observed an average credit score increase of 55 points over a two-year period if they maintained on time payments both on and off Perpay’s platform. Credit score improvement is not guaranteed, and individual results may vary based on a number of factors. Perpay will report your transactions to Experian®, Equifax®, and TransUnion®. On-time payment history can have a positive impact on your credit score. Late payments may result in payment reporting to credit bureaus that may negatively impact your credit score. This product will not remove negative credit history from your credit report. Perpay+ is only available to eligible Marketplace account holders. Fees apply. See the Perpay Terms and Conditions for more details.
**Applying for a Perpay account will not affect your FICO® or Vantage® score. However, we may obtain information from Clarity which may affect your credit profile with this alternative credit bureau.
