What Happens If I Can't Repay My Cash Advance?

Realising that you may not have enough money in your account for an upcoming repayment can be stressful. Your pay may have arrived late, an unexpected expense may have come up or the repayment date may simply have slipped your mind.

Missing a repayment does not make the amount disappear. The payment may fail, your outstanding balance will still need to be repaid and another payment attempt may be scheduled.

If your payment with us fails, you can make a manual repayment using an eligible debit card. Otherwise, we will generally attempt the payment again on your next scheduled repayment date. Depending on your circumstances and the options available in your account, you may also be able to request a repayment split or delay.

The most helpful step is usually to act early. Check your account, review your available repayment options and contact us if you cannot afford the scheduled amount.

What Happens When a Cash Advance Repayment Fails?

The exact process depends on the provider and the terms of the product. In general, several things may happen when a scheduled cash or wage advance repayment cannot be processed.

The Repayment May Be Attempted Again

Many cash or wage advance repayments are collected automatically from a nominated bank account.

We schedule a direct debit from the account into which your wages are paid. If that payment fails, you can make the repayment using an eligible Visa or Mastercard debit card.

Alternatively, we will attempt the payment again on your next scheduled repayment date. We do not accept credit card payments.

Make sure you understand when the next attempt may occur so that it does not clash with essential expenses.

Your Balance Remains Outstanding

A failed direct debit does not cancel your advance. You remain responsible for repaying the outstanding amount under the terms you accepted.

You will also be unable to request another advance from us while your existing balance remains unpaid. You can only request a further advance after the previous balance has been repaid in full.

This restriction helps prevent one advance from being used to cover another. It also means you should not rely on repeated advances as part of your regular budget.

Your Account Access May Be Affected

Depending on the provider and your circumstances, a missed repayment may affect whether you can use the service again.

Our assessment process considers information such as your income, spending patterns, account history and repayment history. Our FAQ also identifies recent failed payments to other companies as one factors that may contribute to an application being declined.

This does not mean that one failed payment will automatically produce a particular outcome. Eligibility and account decisions depend on our assessment criteria and your individual circumstances.

Can You Change a MyPayNow Repayment?

You may be able to change how or when you repay before your scheduled payment is processed.

We provide two account features:

• Request Delay places your direct debit on hold until your next pay cycle.

• Request a Split divides your balance into two equal repayments across your next two pay cycles.

If you are paid weekly or fortnightly, you may use each feature once per advance. If you are paid monthly, you may use either a delay or a split once per advance. These options remain subject to the applicable account conditions and availability.

You can access these features by logging in to the MyPayNow app, opening the side menu and selecting Request a Split or Request Delay.

It is best to review these options before a payment becomes pending. You cannot change your direct debit date while you have a pending payment.

What Should You Do if You Miss a Cash Advance Repayment?

Taking a few practical steps can help you understand the problem and avoid making commitments you cannot maintain.

1. Check Whether the Payment Has Cleared

Direct debits may not appear as completed immediately. Our direct debit repayments generally take two business days to clear.

Check your transaction history and MyPayNow account before assuming the payment has failed.

2. Review Your Available Balance

Work out whether your account has enough money to cover another payment attempt without leaving you unable to pay for essentials such as:

• Food.

• Housing.

• Utilities.

• Transport.

• Medication.

Do not transfer money into your account for the repayment without first considering other transactions that may already be scheduled.

3. Make a Debit Card Payment When Appropriate

If you can afford to clear your outstanding balance, you can make a repayment using an eligible Visa or Mastercard debit card. We do not accept credit card payments.

Avoid using another form of high-cost borrowing to cover the missed repayment. Moving a balance from one short-term product to another may increase your financial pressure rather than resolve it.

4. Consider a Split or Delay

A repayment split or delay may provide more time, but it does not remove your obligation to repay the advance.

Review your expected income and essential expenses over the next one or two pay cycles. A changed repayment arrangement will only be helpful if the revised amounts are realistically affordable.

5. Contact Us Promptly

Contact us through the Help option in the app or email customerservice@mypaynow.com.au if you cannot manage your repayment or need a change that is not available through your account.

We encourage you to contact us as soon as possible if you are experiencing financial difficulty so that we can discuss the options that may be available.

When contacting our support team, explain:

• Why you cannot make the scheduled repayment.

• When you expect your next wage payment.

• How much you can realistically afford.

• Whether the problem is temporary or ongoing.

• Whether your employment or income has changed.

Only offer a repayment amount you genuinely expect to be able to meet.

Will a Missed Cash Advance Repayment Affect Your Credit Score?

The answer depends on the type of product, the provider’s reporting practices and what happens after the payment is missed.

We do not make a credit enquiry on your file with a credit reporting agency when assessing your MyPayNow application. However, this should not be treated as a general rule for every cash advance, loan or credit provider.

For other credit products, repayment history, late or missed repayments, unpaid debts and defaults may form part of a person’s credit information and may influence later credit applications.

Contact us directly if you need information about how a particular repayment issue may affect your MyPayNow account.

What if You Cannot Afford the Repayment?

Being unable to make a repayment may indicate financial hardship, particularly if making the payment would leave you unable to meet essential living costs.

Do not ignore our messages or repeated payment attempts. Explain your position to us and ask what assistance may be available.

Moneysmart recommends acting promptly when repayments are becoming difficult. Depending on the product and your circumstances, assistance may include altered repayments or a payment plan. You should only agree to a repayment amount you can realistically afford.

Our wage advance is designed for employed customers who can repay an advance without experiencing financial hardship. It is not designed for people who require long-term credit or who cannot make the repayment without hardship.

Do not take another advance to cover an unaffordable budget gap. Consider speaking with a free financial counsellor if:

• You are regularly short of money before payday.

• You have several overdue accounts.

• You are using one debt to repay another.

• You cannot cover essential expenses.

• Your income has reduced for more than a brief period.

The National Debt Helpline provides free, independent and confidential financial counselling on 1800 007 007.

How to Reduce the Chance of Missing Another Repayment

A repayment problem can be a useful signal to review how wage advances fit into your budget.

Match Your Repayment Date to Your Pay Cycle

Confirm that your scheduled repayment date aligns with when your wage normally arrives.

Remember to allow for weekends, public holidays and possible payroll delays.

Keep the Repayment Amount Visible

Add the repayment amount and date to your calendar or budgeting app.

Treat the amount as already committed when calculating how much money is available for other spending.

Leave Room for Essential Costs

Eligible customers may be able to access up to 25% of their net wage, capped at $2,000. However, your approved limit is a maximum, not a recommended amount to use. Eligibility, assessment criteria and product conditions apply.

Taking less than your available limit may leave more of your next pay available for normal expenses.

Consider Alternatives Before Taking Another Advance

Depending on the expense, alternatives may include:

• Using available savings.

• Asking a bill provider for an extension.

• Requesting a payment plan.

• Delaying a non-essential purchase.

• Checking whether hardship assistance is available.

• Reviewing discretionary spending until your next pay cycle.

A wage advance may help with a short-term timing gap, but it should not become a substitute for regular income or an ongoing solution to unaffordable expenses.

Understanding Our Costs and Repayment Structure

MyPayNow is a wage advance service, although consumers sometimes use broader search terms such as “cash advance”.

If you are eligible and approved, you may be able to access up to 25% of your net wage, subject to a maximum of $2,000.

We currently charge a fixed credit charge equal to 5% of the amount advanced, plus interest at 24% per annum on your outstanding balance. Interest is capped at 62 days. Eligibility, assessment criteria and product conditions apply.

Your repayment is normally collected by direct debit on or around your next payday. You cannot request another advance until your outstanding advance has been repaid in full.

Before using a wage advance, review the total repayment amount and consider whether your next wage will comfortably cover both the repayment and your essential expenses.

Frequently Asked Questions

Does MyPayNow Charge a Failed-Payment Fee?

No. We do not charge a separate missed-payment, late-payment or direct debit fee.

Our usual product costs are the fixed charge equal to 5% of your advance and interest at 24% per annum on the outstanding balance, capped at 62 days.

Check the terms displayed in your account or contact us if you need confirmation about your individual arrangement.

Can I Repay MyPayNow Manually After a Failed Direct Debit?

Yes. You can make a payment using an eligible Visa or Mastercard debit card.

We do not accept credit card payments.

When Will You Try the Repayment Again?

If your payment fails and you do not make a debit card payment, we will attempt the payment again on your next scheduled repayment date.

Check your account or contact our support team if you need confirmation of the applicable date.

Can I Split a MyPayNow Repayment After Missing It?

Our split feature divides your outstanding balance into two equal repayments across your next two pay cycles.

Availability depends on your pay frequency, whether you have already used the feature and the status of your payment. Review the option in your account or contact us for support.

Can I Request Another Advance Before Repaying the Missed Amount?

No. You cannot request another advance from us until your existing balance has been repaid in full.

What Should I Do if I Have Lost My Job?

Contact our customer support team promptly through the Help section of your account or by emailing customerservice@mypaynow.com.au.

Our service is only available to customers receiving regular employment income, but we may be able to discuss the available options for an existing outstanding balance.

Take Action Early if a Repayment May Be Missed

A missed cash advance repayment is usually easier to address when you act promptly.

Check whether your payment has cleared, review the split or delay options available in your account and contact us if your scheduled repayment is no longer manageable.

Before agreeing to a revised payment, make sure the arrangement leaves enough money for your essential expenses. When repayment difficulties are recurring rather than temporary, consider free financial counselling instead of relying on another advance.

You can review our FAQs for current repayment information or contact our customer support team through the Help section of your account.

The information provided in this blog is for general informational purposes only and does not constitute financial advice. It is not tailored to the specific circumstances of any individual. Before acting on this information, you should consider whether it is appropriate for you, having regard to your objectives, financial situation and needs.