Setting up BMO PaySmart Plans and how they work
A BMO PaySmart Plan on your credit card lets you split eligible purchases into fixed monthly payments over a set time frame of your choosing. This feature is available as part of your existing credit card Account and doesn’t require a credit application.
When you create a PaySmart Plan you don't pay interest, just a fixed monthly fee based on the amount of the transaction and the duration of the plan which will be disclosed when the plan is created. The Monthly Plan Payment will become part of your Minimum Payment Due each month.
This is a BMO Digital Banking self-serve feature. Simply log in or enroll to see eligible purchases and access BMO PaySmart. So long as your Account is in good standing, you have not reached the maximum number of active plans, and you have eligible purchases of $100 or more since your last statement, you can use this feature.
A credit card installment plan makes sense for purchases where you would like to spread out the cost in a structured and predictable way. Note that your Minimum Payment Due may increase as a result of having an installment plan. You must be prepared to make your installment plan monthly payments as part of your credit card Account’s Minimum Payment Due each month.
- Log in to BMO Digital Banking and select your eligible credit card Account from the Account summary page.
- From the Account details page, you can select the “PaySmart” button and then “Create plan” or choose an eligible purchase from your recent transaction activity.
- After selecting an eligible purchase you would like to convert to a PaySmart Plan, you will choose an installment plan with a 3, 6, or 12 month duration. Each plan includes details on the Monthly Plan Payment and fee amount as well as the total payment amount.
- The last step includes reviewing and agreeing to the Terms & Conditions of your plan by clicking on the “Confirm” button.
It will take up to two business days to become active. Plan details will be shown under the “Active plans” tab in BMO Digital Banking
Yes, you can have several active installment plans at the same time and there is a limit of 10 plans that you can have active at any given time.
Yes. If your BMO credit card Account earns rewards on purchases. You will earn rewards on the amount of the original purchase that you select to convert to an installment plan, in the same way that you do on any other purchase made on your Account (for example, points or cash back).
See your Rewards Program Rules for more information on how you earn rewards on your BMO credit card Account.
Installment plans are based on the original purchase posted to your credit card Account. The amount of that purchase has already reduced your Available Credit. Enrolling the eligible purchase into an installment plan does not change your Available Credit.
An installment plan won’t impact your credit score as long as you pay your Monthly Minimum Payment Due on time. When you set up an installment plan, BMO will not perform an additional credit check.
Managing your BMO PaySmart Plan
If you return an item(s) associated with a Purchase you have converted into a PaySmart Plan, the amount of the returned item will not be directly applied to the PaySmart Plan balance. We’ll apply any amount you receive from Purchase returns towards your current Purchase balance.
You’ll be shown a monthly installment plan fee of up to 1.0% of your original purchase amount depending on the duration of the plan. We’ll let you know what your Monthly Plan Fee is during setup.
You won’t be charged interest on installment plans; but if you cancel your plan, your remaining balance will be subject to your standard Purchase Rate.
In the Installment Plan section of BMO Digital Banking, you can view the number of months in the plan you chose. At the top of the plan details page, you will see a progress bar that shows you how much of the PaySmart Plan balance remains.
The “New Balance” on your statement includes any PaySmart Plan balances. Paying the new balance will pay off any PaySmart Plans early. Your statement also includes a “Statement Balance”. Paying this balance avoids paying interest charges on new Purchases and paying off any PaySmart Plans early.
Your statement also includes a “Balance Detail” box that includes an “Adjusted New Balance” and a “PaySmart Plan Balance”. Your Adjusted New Balance is your New Balance less your PaySmart Plan Balance. Your PaySmart Plan Balance is the total remaining balance amount of all active PaySmart Plans plus any billed fees.
If you do not have any installment plans, your Statement Balance is equal to your New Balance, unless you have a disputed transaction.
If you have Auto Pay set up for your credit card Account, there is no action required. As always, you can manage your Auto Pay schedule any time through BMO Digital Banking.
If you have Auto Pay set up for your Minimum Payment Due it will include your PaySmart Monthly Plan Amount due. If you are currently enrolled in the Auto Pay Program and have selected to pay the “New Balance” for each billing cycle on your Statement, this amount is now the “Statement Balance” for purposes of the PaySmart Plan. Paying the “Statement Balance” avoids paying interest on new Purchases and paying off any PaySmart Plans early.
Changing and cancelling your BMO PaySmart Plan
You can cancel your plan at any time through BMO Digital Banking by following these steps:
- Log into BMO Digital Banking and select your eligible credit card Account from the Account Summary page.
- From the Account Details page, you can select the “PaySmart” button and then “View activity”.
- Under “Active plans”, choose the plan you want to cancel.
- Select “CANCEL THIS PLAN”.
Your plan will usually be cancelled within two business days. If you cancel your plan, any remaining balance will be added to your credit card balance and be subject to your standard Purchase Rate as of the cancellation date. You will not be charged any cancellation fees or any monthly plan fees that have not yet been billed. Please note that once you cancel a plan, the remaining balance will not be eligible for any future BMO PaySmart Plans.
You cannot change the terms of your installment plan once it is set up. If you no longer want to continue your installment plan, you can cancel your plan at any time through BMO Digital Banking.
If your card is lost, stolen, or replaced due to fraud, your installment plan will not be cancelled. If you think your credit card has been lost, stolen or if you notice unusual activity on your Account, notify us as soon as possible by calling the number on the back of your card.
Once you’ve paid your BMO PaySmart Plan balance in full, your PaySmart Plan is considered complete, and no further PaySmart Fees will be charged.
We will not cancel any active installment plan(s) on your credit card Account if you close your credit card Account. You can cancel your plan any time through BMO Digital Banking or by calling the number on the back of your card.
We will not cancel any active installment plan(s) on your credit card Account if you close your credit card Account. You can cancel your plan any time through BMO Digital Banking or by calling the number on the back of your card.
