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Xero Instalment Payments for Businesses | PaidTerms Pro Xero Integration
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PaidTerms Pro Xero Integration New Zealand

Offer Instalment Plans on Your Xero Invoices — Without Changing How You Work

PaidTerms Pro connects to your Xero account. Your outstanding invoices appear in your dashboard. Send a "pay in 3" offer to any customer in one click — amounts pulled straight from Xero, no manual entry required.

What Is PaidTerms Pro?

PaidTerms Pro is an instalment payments platform for NZ businesses. It lets you offer your customers the option to pay an invoice in three scheduled instalments — without you having to manage anything manually.

Your customer pays over time. You receive each instalment as it arrives. PaidTerms handles the payment collection, the reminders, and the payment link — you just send the offer.

In plain terms: PaidTerms Pro gives your customers a structured way to pay in instalments, without you needing to track who owes what or follow up manually. It connects directly to your Xero so you don't have to re-enter invoice details anywhere.

What Does the Xero Integration Do in PaidTerms Pro?

PaidTerms Pro connects to your Xero account and reads your outstanding invoices automatically. When you want to offer a customer an instalment plan, the invoice amount, customer name, and due date are already pulled from Xero — you don't need to type anything in.

You can also send a pay link directly from your PaidTerms dashboard with one click, or embed your payment link into a branded Xero invoice template so every invoice you send already includes the option to pay in instalments.

No double entry. No copy-pasting amounts. No separate spreadsheet. Your Xero invoices are already there — PaidTerms just makes them payable in instalments.

How Do I Connect PaidTerms Pro to Xero?

The connection takes about 2 minutes. There are no API keys, no developer setup, and nothing technical to configure. You log in through Xero's standard screen — the same login you use every day.

1

Connect your Xero account

From your PaidTerms dashboard, click "Connect Xero." You'll be taken to Xero's standard login screen to authorise the connection. PaidTerms connects securely — no passwords are shared and you can disconnect at any time.

2

Your outstanding invoices appear automatically

Once connected, your outstanding Xero invoices appear inside your PaidTerms dashboard. You can see all unpaid invoices in one place and send a "pay in 3 instalments" offer to any customer with a single click.

3

Download your branded invoice template (optional)

Get a Xero-compatible invoice template with your PaidTerms payment link already embedded. Send this to customers and they can start a payment plan directly from the invoice they receive — no separate link needed.

How Does Sending an Instalment Offer Work?

Once your Xero account is connected, offering instalments on any invoice takes about 10 seconds. Here's exactly what happens:

1

Find the invoice in your PaidTerms dashboard

Your outstanding Xero invoices are listed inside PaidTerms automatically. You can see the customer name, invoice number, and amount due — pulled live from your Xero account.

2

Click "Offer instalments"

One click sends a branded email to your customer. The email arrives pre-filled with their invoice number, the amount due, and a link to start their payment plan. You don't write anything or copy-paste any figures.

3

Your customer enters their invoice number and pays

When the customer opens the link and enters their invoice number, PaidTerms confirms the amount live from your Xero account. There's no risk of a mismatched figure — the customer always sees the exact amount you invoiced.

4

Instalments are collected automatically

PaidTerms handles the payment schedule, the card charges, and any reminders. You receive each instalment as it arrives. You don't need to follow up or manage the collection process manually.

PaidTerms Pro Xero Features — Explained

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Secure one-click connection

Connects via Xero's standard OAuth login — no API keys, no passwords shared, no developer required. Takes about 2 minutes to authorise.

Live invoice validation

When a customer enters their invoice number, PaidTerms confirms the exact amount from your live Xero account. No manual entry, no mismatched figures, no calls to check.

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Outstanding invoice dashboard

All your unpaid Xero invoices appear inside PaidTerms automatically. You can see at a glance which customers you've already sent an offer to — and which ones you haven't.

✉️

One-click instalment offer emails

Send a branded "pay in 3" email to any customer directly from your PaidTerms dashboard. The email arrives pre-filled with their invoice details — no copy-pasting required.

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Branded Xero invoice template

Download a Xero invoice template with your PaidTerms payment link pre-embedded. Every invoice you send can include a "pay in 3 instalments" option at the bottom — customers can click straight from their PDF.

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One offer per invoice

PaidTerms tracks which invoices you've already sent offers on, so you can't accidentally send the same customer two emails for the same invoice.

PaidTerms Pro vs PaidTerms Capital — What's the Difference?

Both plans connect to Xero and let you offer instalment plans on your invoices. The main difference is who funds the payment — and how deeply Xero is integrated.

PaidTerms Pro

  • Offer instalments on any Xero invoice
  • You receive each instalment as it arrives
  • Live invoice validation from Xero
  • One-click offer emails from dashboard
  • Outstanding invoice list in PaidTerms
  • Branded Xero invoice template

PaidTerms Capital

  • Everything in Pro, plus:
  • You get paid upfront in full — day one
  • PaidTerms funds the instalments, not you
  • Automatic payment recording in Xero
  • Fee posting to your expense account
  • "Pay with PaidTerms" button in Xero's invoice UI
  • Real-time two-way sync between Xero and PaidTerms

PaidTerms Pro vs Emailing Invoices Manually — In Xero

Most NZ businesses using Xero still send invoices by email and wait to be paid. Here's what that looks like compared to using PaidTerms Pro.

Task Emailing invoices manually PaidTerms Pro + Xero
Offering payment flexibility Manual negotiation — phone calls, emails One-click from dashboard
Invoice amount for customer Customer reads PDF — errors possible Confirmed live from Xero — always accurate
Sending a pay link Copy-paste, manual email Pre-filled, branded email in one click
Tracking who's been offered instalments Spreadsheet or memory Tracked automatically in PaidTerms
Payment collection You chase — emails, calls, statements PaidTerms collects automatically
Setup time N/A About 2 minutes
Developer setup required N/A None

Which NZ Businesses Is PaidTerms Pro + Xero Built For?

PaidTerms Pro works for any NZ business that invoices other businesses through Xero and wants to offer payment flexibility without a complicated setup.

It works particularly well if you:

  • Already use Xero for invoicing
  • Have customers who ask to pay over time
  • Send invoices between $500 and $50,000
  • Want to offer instalments without managing the process yourself
  • Don't need full upfront payment but want a structured repayment schedule
Want to get paid upfront instead of waiting for each instalment? That's PaidTerms Capital — PaidTerms pays you in full on day one, and your customers still pay over time. See how Capital works with Xero.

PaidTerms Pro + Xero — Common Questions

Does PaidTerms Pro work with Xero?

Yes. PaidTerms Pro connects directly to your Xero account. Once linked, your outstanding invoices appear automatically in your PaidTerms dashboard, invoice amounts are confirmed live from Xero when customers pay, and you can send instalment offer emails in one click without copying any details manually.

How do I connect PaidTerms Pro to my Xero account?

From your PaidTerms dashboard, click "Connect Xero." You'll be taken to Xero's standard login screen to authorise the connection. There are no API keys, no developer setup, and nothing technical to configure. The whole process takes about 2 minutes.

Do I need to change how I create invoices in Xero?

No. Keep raising invoices in Xero exactly as you do now. PaidTerms reads your outstanding invoices automatically — you don't need to tag, flag, or export anything. Everything flows from your existing Xero invoices.

Does Xero update automatically when a customer pays an instalment?

With PaidTerms Pro, your Xero invoice balance updates as instalments are received. For fully automatic reconciliation — where every payment and fee is posted to specific Xero accounts without any manual input — that's a feature of PaidTerms Capital.

Do I need a clearing account or expense account in Xero for PaidTerms Pro?

No. Account mapping is not required for PaidTerms Pro. That setup step — choosing a clearing account and fee account — is part of PaidTerms Capital only, which handles full automatic reconciliation on your behalf.

What does the "one-click offer email" actually send to my customer?

When you click "Offer instalments" on any invoice in your PaidTerms dashboard, a branded email goes to your customer. It arrives pre-filled with their name, invoice number, the amount due, and a link to start their payment plan. You don't write anything or enter any figures — it's all pulled from Xero automatically.

Can I send more than one instalment offer for the same invoice?

No — PaidTerms only allows one offer per invoice. This prevents your customer from receiving duplicate emails for the same invoice. Your dashboard shows which invoices have already had an offer sent.

What is the branded Xero invoice template?

PaidTerms provides a downloadable Xero invoice template with your PaidTerms payment link already embedded. You use this template when creating invoices in Xero, and the "pay in 3 instalments" link appears at the bottom of every invoice PDF your customer receives — so they can start a payment plan directly from the invoice, without needing a separate email from you.

Does PaidTerms Pro work with multi-currency Xero invoices?

PaidTerms Pro currently supports NZD invoices only. Invoices in other currencies are not eligible for instalment plans.

Is my Xero data safe when I connect PaidTerms?

Yes. PaidTerms connects using Xero's standard OAuth 2.0 authorisation — the same secure login method used by all Xero-connected apps. PaidTerms never stores your Xero password. You can disconnect PaidTerms from your Xero account at any time from your PaidTerms dashboard.

What's the difference between PaidTerms Pro and PaidTerms Capital for Xero users?

Both plans connect to Xero and let you offer instalment plans on your invoices. With Pro, you receive each instalment as it arrives. With Capital, PaidTerms pays you the full invoice amount upfront on day one — and your Xero books update automatically with full reconciliation, a "Pay with PaidTerms" button inside Xero, and real-time two-way sync. Capital is the right choice if you want immediate cash flow and zero manual reconciliation.

Related Topics

To see how PaidTerms Capital handles Xero with full automatic reconciliation and upfront payment, see PaidTerms Capital + Xero Integration.

To learn what B2B BNPL is and how it works for NZ businesses, see What Is B2B BNPL In New Zealand?

To understand the difference between trade credit and B2B BNPL, see Trade Credit vs B2B BNPL in New Zealand.

Connect Your Xero in 2 Minutes

PaidTerms Pro plugs directly into your Xero account. Your outstanding invoices are already there — offer any customer a payment plan in one click.

No manual entry. No double work. No changing how you invoice.