Where to find and update your payment method

To change the payment method on your Microsoft account, go to account.microsoft.com, sign in, and select Payment & billing from the left menu. From there, choose Payment methods. You will see any cards or payment options already saved to your account. Click the payment method you want to change, or select Add a payment method if you are adding something new instead of replacing an existing one.

The entire process takes about five minutes. Microsoft stores your payment information encrypted, so you do not need to worry about re-entering sensitive details every time you make a purchase through the Microsoft Store, Game Pass, or Office 365.

Key Takeaways

  • You change your payment method through account.microsoft.com under the Payment & billing section, not through individual apps or services.
  • You can add a new card, remove an old one, or set a different card as your default for future charges.
  • Changes take effect when ready for new purchases, but recurring subscriptions like Game Pass or Microsoft 365 will continue charging the card currently linked to that subscription until you update it separately.
  • If a payment method fails during a charge, Microsoft will try the backup payment method you have on file before blocking your account.

Adding a new card or payment option

Click Add a payment method and choose whether you are adding a credit card, debit card, or PayPal account. If you choose a card, enter the card number, expiration date, CVV (the three-digit code on the back), and the billing address. Microsoft accepts Visa, Mastercard, American Express, and Discover in most countries.

After you enter the information, Microsoft will ask whether you want to make this your default payment method. If you say yes, future charges will use this card unless you change it again. If you say no, the card will be saved but not used automatically.

Some regions also support payment through local methods — for example, iDEAL in the Netherlands or Alipay in China. The payment method options you see depend on your account location and the country where your billing address is registered.

Removing a payment method you no longer use

Go to Payment methods and find the card or account you want to remove. Click it and select Delete or Remove. You cannot delete the payment method that is currently set as your default, so if you want to remove your only card, you must add a new one first and set it as default.

Removing a payment method does not cancel any subscriptions or services tied to it. If you have Game Pass or Microsoft 365 charging to that card, the charge will fail on the next billing date unless you update the subscription's payment method separately. Microsoft will then attempt to charge your backup payment method if you have one on file.

Updating payment for active subscriptions

Changing your default payment method does not automatically update subscriptions that are already running. If you have Microsoft 365, Game Pass, or another recurring service, you need to update its payment method separately.

Go to Subscriptions in your account settings and select the subscription you want to update. Look for Payment method or Billing and choose a different card from your saved payment methods, or add a new one. The change takes effect on your next billing date.

If you delete a card that a subscription is using, Microsoft will attempt to charge your default payment method instead. If that fails, your subscription will be suspended until you add a working payment method.

What happens when a payment fails

If a charge fails — for example, because the card is expired or the account is closed — Microsoft will send you an email notification. You then have a set number of days (usually 10 to 15, depending on the service) to update your payment method before the service is suspended.

During this grace period, you can add a new card or update an existing one through your account settings. Once you update the payment method, Microsoft will attempt to charge the outstanding balance. If the charge succeeds, your service will resume when ready.

If you do not update your payment method before the grace period ends, subscriptions like Game Pass or Microsoft 365 will be suspended. You will lose access to services, but your data is not deleted. Once you add a working payment method and pay any outstanding balance, you can reactivate the subscription.

Updating your billing address

Your billing address is linked to your payment method, not to your account as a whole. If you move, you need to update the address for each card separately. Go to Payment methods, click the card you want to update, and edit the billing address field.

Some payment processors and card issuers use address verification to prevent fraud. If your billing address does not match what your bank has on file, the charge may be declined. If this happens, contact your card issuer to confirm the address they have registered, then update it in your Microsoft account to match.

Using PayPal or other third-party payment accounts

Microsoft accepts PayPal as a payment method in most countries. To add PayPal, select Add a payment method, choose PayPal, and you will be redirected to PayPal's site to authorize the connection. Once authorized, PayPal will appear in your saved payment methods and you can set it as your default.

When you use PayPal, Microsoft charges PayPal, and PayPal then charges the bank account or card you have linked to your PayPal account. This adds one extra step, but it means you do not have to store your card details directly with Microsoft. If you want to change which card PayPal uses, you do that through your PayPal account, not through Microsoft.

Frequently Asked Questions

Does changing my payment method cancel my subscriptions?

No. Changing your default payment method does not cancel anything. However, if you delete the card that a subscription is currently using, that subscription will try to charge your new default payment method on the next billing date. If you do not have a working backup payment method, the subscription will be suspended.

Can I use a different payment method for different Microsoft services?

Not directly. You set one default payment method for your entire account, and all services use that unless you change the payment method for a specific subscription. You can save multiple cards and switch between them, but you cannot assign different cards to different services at the account level.

What if I want to use a prepaid card?

Prepaid cards work the same way as regular debit cards. Enter the card number, expiration date, and CVV just as you would for any other card. The main difference is that if the prepaid card runs out of balance, the charge will fail and you will need to add funds to the card or use a different payment method.

How long does it take for a payment method change to show up?

Changes are when ready. If you add a new card and set it as default, the next charge will use that card. If you remove a card, it disappears from your saved methods right away, though subscriptions using that card will not be affected until the next billing date.

Can I see a history of charges to each payment method?

Yes. Go to Billing history in your account settings. You can filter by date and see which payment method was charged for each purchase. This is useful if you want to verify that a subscription switched to the correct card after you updated it.