Microsoft 365 family account set up using product key not working

The error during setup is typically caused by an issue with the payment method or with how the account’s country/region and currency are configured when redeeming the Microsoft 365 Family product key.

Use these steps:

1. Redeem the product key correctly
   • Go to Office.com/setup or https://microsoft365.com/setup and redeem the Microsoft 365 Family product key there. This is a one-time process that adds the subscription to the Microsoft account.
2. Fix payment method issues
   • Go to the Microsoft account Payment & billing page: https://account.microsoft.com/services/office/billing (or via account.microsoft.com → Payment & billing).
   • In Pay settings, select Change how you pay or Fix how you pay and update or replace the payment method.
   • After fixing the payment method, repeat the setup/redeem flow.
3. Check country/region and currency
   • If the error persists and includes a code like ConversionBlockedCurrencyCountryMismatch, ensure the country/region on the Microsoft account profile and Windows settings matches the country/region where the subscription/product key was purchased.
   • If the key was purchased in a different country/region than the current location, the key may need to be redeemed in the original country/region or with an account configured for that region.
4. If the key still cannot be redeemed
   • If the product key continues to fail at the payment step after correcting payment and region settings, contact Microsoft Support for account- and billing-specific assistance: https://support.microsoft.com/contactus/.

References:

• Get help with product key errors on Office.com/setup
• Activate Office for Windows
• Using product keys with Microsoft 365
• Trying to use an Office365 product key and "getting error PaymentAuthenticationVerificationFailed" - Microsoft Q&A
• can't use microsoft 365 preload on new laptop - Microsoft Q&A