Flipkart Pay Later Closure Explained And What You Should Do

Recently, Flipkart’s users received an unexpected notification about –

“Flipkart Pay Later service is no longer available due to the company’s new internal policy and the lending partner.”

Most of us have no clue why the Flipkart Pay Later Service suddenly stopped. Is it my mistake, a system issue, a credit score issue, or something else?

Let’s understand exactly what’s going on with the Flipkart Pay Later Program, IDFC Bank and give you a step-by-step plan to protect your credit score and finances.

What is Flipkart Pay Later, and how does it work?

Flipkart Pay Later is a Buy first and Pay Later digital facility that allows eligible users to purchase products and pay bills using the Flipkart app, without requiring a full down payment upfront and without needing a credit card. You can convert into 3 to 12 easy monthly EMI, also it avoids immediate debit from bank accounts, giving a free credit period upto 35 days.

It is possible through partnerships with lending partners like IDFC FIRST Bank, Axis Bank, and others, depending on the user’s eligibility. The biggest partner is IDFC till 2025.

Why Has Flipkart Pay Later Stopped for Many Users?

The main reason is a major partnership change:

• Flipkart and IDFC FIRST Bank have ended their lending partnership at the end of 2024.
• Customers whose Pay Later account was linked to IDFC FIRST Bank had their service permanently closed.
• This is a policy-level decision, not based on your personal payment history.

Even if you have:

• Paid every bill on time
• Maintained a high credit score
• Used Pay Later actively

You can still be affected because the backend lending arrangement no longer exists.

Who is Mostly Affected by the Closure of Pay Later?

The impact is not universal — it depends on your lending partner:

• Affected: Customers with IDFC FIRST Bank as their Flipkart Pay Later lender
• Possibly unaffected (for now): Customers linked with other banks or NBFCs are still in partnership with Flipkart

How to check your lender:

• Open a previous Flipkart Pay Later statement PDF
• Look at the footer — it mentions the lending partner’s name.

Note For You – Whose Pay Later accounts linked to PANs and managed by an IDFC lending partner have been shut down after sending a notification to users. Meanwhile, users with Pay Later accounts run by Axis Bank have not witnessed any such closure to date, and the service remains open for use by them.

How to know if My Flipkart Pay Later is deactivated or not

You will notice the change in the Flipkart App only –

1. The Flipkart Pay Later section in your Account (option missing or marked inactive)
2. Checkout page (Pay Later EMI option not available)
3. Account notification (displaying closure message)

If you try to place an order with Pay Later, it simply won’t appear as a payment method next time.

When Did This Start Happening?

According to the reports of Reddit and technofino forum users, it began at the end of 2024 and started in 2025, with a surge in July–August 2025.

• Many IDFC-linked accounts were paused overnight, without prior warning.
• Flipkart only informed customers through the in-app closure message, not via email/SMS in advance.

Case Study: Laxman’s Experience

Laxman, a 32-year-old from Jaipur, had been using Flipkart Pay Later for 18 months.

• Average monthly spends: ₹3,000–₹5,000
• Payment history: Perfect (never missed a due date)
• Lending partner: IDFC FIRST Bank

In July 2025, while buying a phone cover, he saw the closure message.
He immediately:

1. Checked his dues — ₹0
2. Downloaded all statements for record-keeping
3. Pulled his CIBIL report to ensure the account showed “Closed”

Key takeaway: Even if you’re a model customer, you can lose access when the partnership changes or internal issue happen without telling you.

Step-by-Step: What You Should Do Now

1 Step – Clear All Pending Dues Immediately

Even though closure isn’t due to non-payment, unpaid bills will harm your credit score.

• Go to Flipkart → Pay Later → Outstanding Balance
• Pay via UPI, debit/credit card, or net banking
• Clear any pending EMI linked with Pay later

2 Step – Download Your Past Statements

After closure, Flipkart may remove old statements from the app.

• Access Pay Later → Statements
• Download PDFs month-by-month
• Store them for at least a year in case of disputes

3 Step – Check Your Updated Credit Report after 3 months

After 3 months, track your new account status report on CIBIL, Experian, CIRF Highmark, and also use Equifax. (if required)

What to look for:

• Status should be “Closed”
• Outstanding amount should be ₹0
  If incorrect, raise a dispute with the credit bureau.

4. Understand That Reactivation is Not Possible (Yet)

Once closed due to a lending partner’s exit:

• Accounts cannot be reopened
• If Flipkart launches Pay Later with a new lender, you may need to reapply and pass fresh eligibility checks

As per the 2025 press release, Flipkart is launching the SuperPay app, which allows users to purchase through the 3 EMI systems. However, here you have to reapply and be eligible only as per your credit score.

5. Explore Alternatives

If you depended on Pay Later for monthly purchases, consider:

1. Amazon Pay Later – Backed by Capital Float and still active for everyone.
2. LazyPay – Works across multiple merchants
3. Simpl – Popular for small-ticket BNPL transactions
4. HDFC FlexiPay / ICICI PayLater – Bank-specific BNPL
5. Low-limit credit cards for controlled spending
6. FD-backed credit cards, such as the ZET Credit card and the One Card

How to Permanently Close Flipkart Pay Later From Credit Report

If you want it completely removed from your credit profile:

1. Pay all dues
2. Contact Flipkart support and request written closure confirmation
3. Email IDFC FIRST Bank’s customer care with closure proof
4. Wait 30–45 days and recheck your credit report for updates

FAQs About Pay Later Closure