It’s crucial to select a payment service that not only facilitates convenient customer payments but also safeguards them against fraudulent transactions.
Consumers are increasingly comfortable making both online and in-store purchases with their bank cards, and this trend is anticipated to surge by 90% in the coming years, surpassing $1.6 trillion by the end of 2022.
Whether it’s accepting credit and debit cards, processing cardless transactions, or handling in-store payments, the top payment gateways play a pivotal role in optimizing conversion rates and ensuring an excellent customer experience.
If you are caring about your eCommerce Business, you may also want to integrate billing and invoicing software on your platfom.
This comprehensive guide provides an in-depth review of the 10 most trustworthy payment gateways.
What is a Payment Gateway?
A payment gateway, offered by an ecommerce application service provider, enables merchants to accept debit or credit card transactions from customers.
In the realm of ecommerce, payment gateways play a crucial role in enhancing the security and convenience of purchasing from your store. Failing to provide preferred options, such as PayPal, may lead potential customers to choose competitors.
Conducting thorough research is vital to comprehend the benefits each payment gateway offers to both your store and your customers.
The Best Payment Gateways
Here’s the breakdown of the different payment gateways that are used by both large and small ecommerce businesses:
Paytm for Business
Paytm for Business presents a comprehensive solution catering to both online and in-store payments, offering features customized to suit your business requirements.
Whether you’re a merchant or a business partner, this solution facilitates business growth, streamlines day-to-day payments, and facilitates disbursements.
Leverage Paytm for Business to effortlessly collect recurring payments, generate payment links, and send invoices to your clients.
With Paytm for Business, you gain access to a centralized ledger for payment tracking, allowing you to monitor settlements and download monthly statements.
The platform also provides a merchant helpdesk, empowering you to address customer issues and access real-time reports.
Furthermore, you can monitor your transactions without waiting for confirmation. Additionally, manual money transfers to your bank accounts can be executed with zero transaction costs.
Pros
- A secure credit card processor
- Easy-to-use mobile payment processing app
- Seamless integration with 3rd party applications
- Useful UPI transaction on the go
- Multiple payment options
Cons
- The web interface can be more intuitive
- Transactions can be faster
- The Online Convenience fee is a bit high compared to some payment gateways
Stripe Connect
Stripe Connect provides user-friendly payment solutions tailored for platforms and marketplaces.
Easily construct and expand comprehensive payment experiences without navigating complex backend processes. In addition to facilitating payments for ecommerce applications, Stripe Connect offers a user-friendly API for seamless integration with other systems, ensuring compliance with payment regulations.
Key features include payment logging, payment rollback, and payouts. Users can set distinct charges for subsites and commission for paid subscriptions, supporting one-to-many payments. The platform manages payment compliance, user onboarding, account management, and payouts, with 24/7 customer support.
Stripe Connect’s billing module simplifies recurring business relationships, allowing users to customize accounts based on their payment requirements. The connected account type offers a straightforward route, providing full control over the user experience.
Begin with the free standard plan, featuring zero platform fees and a co-branded dashboard for customers. Paid plans start at $2 per monthly active account.
Pros
- Easy integrations with pre-built ecommerce plugins
- Super easy-to-use credit and debit card processor
- Lots of payment options — including digital wallets, automatic payments, etc.
- Excellent customer support
Cons
- It can’t only be used by merchants in the U.S. and 44 other countries
- Limited in-person transactions
PayPal
Whether you’re a buyer or seller, PayPal provides a secure online method for sending and receiving money. With almost two decades of operation, PayPal stands as one of the world’s largest online payment platforms, boasting over 450 million active accounts.
While PayPal is versatile for personal use, its business account offers robust features tailored for merchants. With a PayPal business account, you can easily accept credit cards and debit cards on the go, access your purchase history, add new bank accounts, and perform various other functions.
Personal accounts come in three types: a free personal account, a free “basic” account, and a “pro” account. PayPal fees can vary based on the source of funds. For instance, there are no charges for buying or selling items, but a 2.9% processing fee applies to money transfers. International transactions may also incur up to a 5% fee.
Pros
- A secure payment gateway that doesn’t reveal your credit card details
- Enables end customers to pay over several months — giving you the freedom to automatically offer that option.
- Fast online and in-person payment tools
- Useful merchant support tools
- Accepts payment from around the world
Cons
- Disputes take time to resolve
- Annoying customer service
- Customers are losing confidence in PayPal due to the seizure of funds
Payoneer
Payoneer serves as a comprehensive payment platform designed for cross-border businesses.
With a Payoneer account, users gain access to a range of services, including online money transfers, international payments, and funding opportunities. While individuals can utilize Payoneer, it is particularly popular among businesses.
Businesses and service providers leverage Payoneer’s robust payment gateway to efficiently manage their working capital, providing a convenient method for receiving payments from customers worldwide.
The Payoneer system is user-friendly, allowing users to track account balances, monitor transaction fees, and even receive free money transfers through P2P transactions.
By using Payoneer, businesses can expand their reach globally, enabling seamless money transfers across 200 countries. Additionally, users have the option to receive a complimentary prepaid MasterCard credit card, which can be used to withdraw funds from ATMs in most countries.
Pros
- Faster processing of payments
- No setup fee
- Excellent customer support that listens to customers
- Unique U.S. and U.K bank accounts even for non-residents of these countries
- Cross border payments made easy
Cons
- Verifying accounts takes a lot of time
- Frequent technical issues when making payments
- Limited integrations with third-party apps
Apple Pay for Merchants
Enhancing your store by offering payment options like Apple Pay for Merchants is an excellent way to elevate its value.
Apple Pay for Merchants provides a convenient payment solution for online, in-store, and in-app transactions. It stands out for its simplicity, privacy, security, and speed.
This payment option introduces flexibility and personalization for your customers, fostering a sense of comfort during the purchase process and ultimately leading to improved conversion rates.
Before integrating Apple Pay into your payment methods, a few preliminary steps are necessary. You’ll need a payment processor supporting Apple Pay and an NFC-enabled POS terminal. Additionally, generating an Apple ID for your business and obtaining a payment processing certificate are essential. These certificates play a crucial role in securing your transaction data.
Once these steps are completed, you can seamlessly add Apple Pay to your website or app.
Pros
- Convenient and secure payment service
- No hidden fees
- No internet connection is required to complete a payment
- Great for in-store payment transactions
- Transactions can be completed quickly
Cons
- The setup process is complicated
- Basic user interface (it can be improved).
- Potential security breaches
Flutterwave
Flutterwave stands out as a robust payment gateway, presenting a myriad of possibilities for your business.
This platform enables you to effortlessly sell products and services online, securely process payments, create financial products, and access merchant tools tailored to enhance your business operations.
Functioning as a fintech company, Flutterwave provides essential payment infrastructure for global merchants, collaborating with multiple banks across various countries, including the US, the UK, and several African nations. It supports diverse payment methods, including mobile payments, virtual dollar cards, and web payments.
With a primary focus on emerging markets, Flutterwave primarily operates in 11 African countries, with its headquarters situated in San Francisco. The company has strategic plans for expansion into Canada and other Asian nations.
For businesses on a budget, Flutterwave offers a free online store, particularly beneficial during the initial growth stages. New users can initiate their journey with a free trial to experience the functionality of the payment tool before considering an upgrade to a pro plan, which comes with varying transaction fees.
Pros
- Clean and modern user interface
- Integrates well with PayPal for international payment transactions
- A convenient payment processor in emerging markets
- An extra layer of security protects customer transactions
Cons
- It doesn’t support all African countries
- Customer support can be more responsive
- The KYC (know your customer) process can be frustrating
GoCardless
GoCardless is a payment processing service designed to facilitate businesses in accepting debit payments.
By utilizing GoCardless, businesses can seamlessly accept direct bank payments, devoid of card fees or delays. This method not only proves to be more cost-effective than credit card networks but also eliminates the complexities associated with traditional banking processes. The service is user-friendly and supports over 30 languages.
Tailored primarily for companies invoicing customers regularly, GoCardless efficiently collects payments from customer bank accounts and disburses funds based on predetermined collection dates.
To accommodate diverse needs, GoCardless offers various payment plans, with a fixed percentage fee per transaction. The actual fee may vary based on the size of the business, with smaller enterprises potentially incurring higher fees due to lower transaction volumes. While there is no setup cost, a transaction fee of 1% plus £/€ 0.20 applies.
Pros
- The setup and onboarding process is easy
- An intuitive and clean user interface
- Rich reporting of transactions
- Supports multiple languages and currencies
Cons
- Reconciliation of payment could be faster
- Customer support is almost non-existent
Razorpay
Razorpay stands out as a rapidly advancing payment processing company based in India, widely regarded as one of the most significant success stories in the Indian fintech landscape.
Founded by a group of young entrepreneurs, Razorpay emerged with the vision of creating a straightforward payment gateway for businesses. After securing a payment processing license from the RBL bank, the company has been instrumental in enabling merchants to process various forms of payments, including credit and debit cards, eWallets, and UPI.
Razorpay’s compatibility extends to major virtual wallets like FreeCharge, OlaMoney, and PayZapp, while its API facilitates seamless integration with other systems. The platform is recommended for streamlining payment automation and tracking processes for both vendors and employees.
Razorpay offers two distinct plans catering to emerging companies and small to medium-sized businesses, each accompanied by a dedicated account manager. The user-friendly control panel provides access to essential statistics, empowering users to efficiently manage payments, process refunds, and generate invoices.
Pros
- Fast and secure payment processor
- User-friendly dashboard
- Easily processes refunds in real-time
- Quickly generate visually-appealing invoices for your clients
Cons
- It takes 8 to 10 days to get your merchant account approved.
- Limited wallet and EMI options
- Flat payment charges are higher than some of the competitors’
Authorize.net
Authorize.net stands as a reliable payment gateway, specializing in the acceptance of credit cards, processing contactless payments, and facilitating in-person eChecks.
Distinguished by its longevity and a track record of assisting millions of merchants over the decades, Authorize.net is a steadfast choice for processing payments, ensuring timely and consistent payments for users.
Regardless of whether you’re a startup aiming to expand or an experienced business executive, Authorize.net’s payment solutions handle the intricacies efficiently. The company’s suite of payment services is both robust and cost-effective, with an unmatched commitment to customer service.
As the preferred payment processor for numerous major banks and credit unions, Authorize.net takes care of the intricate details, providing peace of mind for users. Established in 1996 as Authorize.net, Inc., the company operates as a subsidiary of Visa Inc.
With a transparent fee structure, users benefit from no setup fees, and monthly gateway pricing starts at $25.
Pros
- Easy to set up
- Customers locate previous transactions with ease
- Advanced fraud detection tools
- Supports multi-currencies
Cons
- Poor customer support
- Reporting can be improved
Wise
Wise, formerly known as TransferWise, provides a swift and cost-effective payment solution, particularly well-suited for international transactions.
This service offers a seamless method for sending or receiving payments globally. Transfers are characterized by their speed, with funds typically arriving within one business day for wire transfers and one to three business days for ACH transfers. Importantly, Wise is committed to transparency, ensuring no hidden fees in its transactions.
Distinguishing itself from other money transfer services, Wise utilizes the real exchange rate, charging a modest commission percentage. The rates are clearly calculated upfront, offering users clarity about the costs involved.
Wise enhances convenience with a multi-currency account, allowing users to hold funds in over 50 currencies. Notably, receiving payments from foreign countries incurs no fees, and funding transactions is straightforward, with options to use credit cards or debit cards.
Pros
- Low transaction fees and reasonable rates
- Fast and easy signup process (with no complex KYC verification)
- Easily pay for transfers in cash or credit
- Borderless and trusted payment solution
Cons
- Transfer speed may be low (sometimes)
- Account deactivations (with no prior warnings)
- Wise doesn’t accept all types of credit/debit cards (unfortunately)
Conclusion
In essence, the expenses associated with utilizing a payment gateway hinge on the volume and value of transactions conducted. Various costs come into play, such as setup fees, monthly fees, and transaction fees. In combination with a suitable ssl certificate can also prevent threats to your flatform.
It is imperative that your chosen payment gateway adheres to PCI compliance, a security standard crafted to safeguard the confidentiality of your customers’ information.
Ultimately, the ideal payment gateway should combine user-friendliness with a seamless and expedient checkout experience.
