Change your payment method for Office 365 for business

When you buy Office 365, you choose to pay by credit card or bank account, pay by invoice, or pay by using a prepaid product key. You can switch between paying by credit card or bank account and paying by invoice at any time during your subscription. If you paid using a prepaid product key, you can choose to switch over to paying by credit card or bank account, or to paying by invoice after your licensing period has ended.

Note: After you switch payment methods, your users will continue to have the same license assignments as before.

Just want to change your credit card or bank account information? See Add, update, or remove a credit card or bank account in Office 365 for business.

What if I have an outstanding balance?

If you're moving from invoice to credit card or bank account, your existing invoice charges won't be transferred to your credit card or bank account, so be sure to pay any outstanding invoice balance by wire transfer. In some regions, you can also pay your outstanding balance by check. See your invoice for more information about paying your outstanding balance.

If you're moving from credit card or bank account to invoice, any outstanding balance will be transferred to your next invoice.

Note: If you pay by credit card, and your credit card is declined, you’ll receive an email letting you know that we were unable to process the payment. You can update your credit card information and immediately submit the payment by using the Pay now button on the Subscriptions page. For more information, see “What if my credit card has expired and my payment is past due?” in Pay your bill for Office 365 or Azure.

What do you want to do?

Tip: The following steps apply to individual subscriptions only. If you have multiple subscriptions in your organization, complete these steps for each subscription that you want to change.

When you change from paying by invoice to paying by credit card or bank account, we automatically create a new subscription for you, move your users to the new subscription, and then disable your old subscription. Don’t worry, your users won’t see a disruption in service and all of their information will be available through the new subscription.

  1. Sign in to Office 365 with your work or school account as a global admin. Learn how to sign in.

  2. Select the app launcher icon Office 365 app launcher icon in the upper-left and choose Admin.

  3. In the admin center, choose Billing > Subscriptions.

    The Billing menu in the new Office 365 Admin Center with Subscriptions selected.

  4. Choose the subscription that you want to change. In the Payment details section, choose Change payment details.

    Screen shot of the ‘Payment method’ section of a Subscription card for a subscription that pays by invoice.

  5. In the Change payment details pane, choose Change your payment method.

    The Change payment details pane for a subscription that is currently paid by invoice.
  6. In the Change your payment method dialog box, choose Continue.

    The notice that displays when you switch from invoice to credit card or bank account payment.
  7. On the How does this look? page, you can optionally increase the number of users licenses that you want for this subscription. To continue, choose Next.

  8. Some subscriptions have the option to choose a monthly or annual commitment. If you see a choice to pay by the year or by the month on the How do you want to pay? page, choose how frequently you want to pay.

    The Payment method section on the How do you want to pay? page, showing the Pay by the year and Pay by the month options.
  9. In the Payment method list, select either Existing card, New credit card, or New bank account.

    The Payment method section on the How do you want to pay? page, with the payment option drop-down box expanded.
  10. If you chose the New credit card or New bank account option in step 9, fill out the rest of your payment information.

  11. When you're done filling out the form, choose Place order.

When you return to the Subscriptions page, you will see the old subscription marked Disabled and the new one marked Active. You can let the old subscription expire.

Note: The option to pay by invoice is only available if your Office 365 subscription costs over a certain amount (which varies by service location). A credit check might be required for larger invoice payments. To learn more, see Pay by invoice, credit card, or bank account.

  1. Sign in to Office 365 with your work or school account as a global admin. Learn how to sign in.

  2. Select the app launcher icon Office 365 app launcher icon in the upper-left and choose Admin.

  3. In the admin center, choose Billing > Subscriptions.

    The Billing menu in the new Office 365 Admin Center with Subscriptions selected.

  4. Choose the subscription that you want to change. In the Payment method section, choose Change payment details.

    The Payment method section of a Subscription card for a subscription that pays by credit card.
  5. In the Change payment details pane, choose Change your payment method.

    Tip: If the Change your payment method link isn’t displayed, it means that switching from credit card or bank account to invoice isn’t available for the subscription because the subscription doesn’t meet the minimum cost amount for billing by invoice. The minimum cost amount required to be billed by invoice varies by geographic location.

    The Change payment details pane for a subscription that is currently paid by credit card, but is eligible to change to invoice.
  6. In the Change your payment method dialog box, choose Continue.

    The notice that displays when you switch from credit card or bank account to invoice payment.
  7. Choose OK to return to the admin center.

    Screen shot of the confirmation notice that displays after your subscription is converted to invoice payment.

You can use the following steps at any time to verify the payment method that’s configured for a subscription.

  1. Sign in to Office 365 with your work or school account as a global admin. Learn how to sign in.

  2. Select the app launcher icon Office 365 app launcher icon in the upper-left and choose Admin.

  3. In the admin center, choose Billing > Subscriptions.

    The Billing menu in the new Office 365 Admin Center with Subscriptions selected.

  4. Choose the subscription that you want to verify. The payment method that’s configured for the subscription appears under Payment method and might look like one of the following screenshots:

    Mayment method user interface shows that this subscription is configured to pay by invoice. The Payment method section of a Subscription card for a subscription that pays by credit card.

If you want to change how frequently you pay for your Office 365 for business subscription, either from annual to monthly or monthly to annual, you'll need to call Office 365 support for assistance.

How to see your current payment frequency
  1. Sign in to Office 365 with your work or school account as a global admin. Learn how to sign in.

  2. Select the app launcher icon Office 365 app launcher icon in the upper-left and choose Admin.

  3. In the admin center, choose Billing > Subscriptions.

    The Billing menu in the new Office 365 Admin Center with Subscriptions selected.

  4. Choose the subscription for which you want to see the payment frequency. The Payment method section will say either Payment: monthly or Payment: annual.

    Payment section of a subscription that shows that the subscription is paid monthly. Payment section of the Admin Center page shows that the subscription is paid annually

    Remember, you can't change the payment frequency yourself. Instead, you'll need to call Office 365 support and they'll assist you.

Leave us a comment

Were these steps helpful? If so, please let us know at the bottom of this topic. If they weren't, and you're still having trouble, tell us what you were trying to do, and what problems you encountered.

Still need help? Contact support.

As an admin for Office 365 for business, you get free access to our knowledgeable support agents for pre-sales, account, and billing support, as well as for help resolving technical issues. You can also contact support on behalf of Office 365 users in your organization.

Get help from the Office 365 community forums Admins: Sign in and create a service request Admins: Call Support

See Also

Add, update, or remove your credit card or bank account for Office 365 for business

Billing in Office 365 for business – Admin Help

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