These days, the question is not whether payment gateways are effective or not; the question is which gateway can actually cater to the evolving demands of customers while keeping the cost under control.
On one side, customers are demanding mobile-friendly instant checkouts, and on the other side, data privacy and security have become major concerns. What to prioritize as a businessperson?
To break this chain of confusion for businesses, I tested dozens of payment gateway applications to understand which ones are reliable and convenient for business owners and customers.
After testing and analyzing hundreds of payment gateways across different industries and scenarios.I have curated this guide that can help you find the best ones for your business. Let’s begin.
Overview of payment gateways
Payment gateways are not just a backend tool. As customers are becoming more aware of the digital payment process, it has become very important to choose the right platform that customers trust.
For that, many payment options like Square and Stripe have evolved as a one-stop solution for businesses. For startups and small businesses, options like Helcim and National Processing have emerged with lower processing fees.
These days, the most preferred options are the ones that offer high security and mobile-optimized checkouts with less friction. This is a win-win for both customers and businesses.
Rise in regional and local payment gateways
While globally renowned payment gateways like Stripe and PayPal are getting enormous attention, many regional and local payment processing options offer a blend of competitive pricing, competitive support, and better functionality.
Gateways like Payline Data and National Processing are great choices. Payline works with some high-risk industries on a case-by-case basis, often requiring specific underwriting, but approval varies by category. Whereas, National Processing is less known for high-risk, but does offer custom solutions.
They offer interchange-plus pricing (which is quite transparent) with great customer service.
I also saw payment processors like Stax and CDGcommerce (formerly Fattmerchant). They offer features like same-day funding, local compliance tools, and a lot more. So, they can be of great help for SMBs that often rely on scalable solutions.
How do I find the best E-commerce payment gateways?
1. Compared pricing structure with transactional fees – I looked at their transactional fee and their pricing structure. Compared them minutely. This is an important factor, especially when you are considering different sales volumes.
2. Smooth integration - I didn’t just read about integration tools, but I also tested payment gateways by integrating them with popular e-commerce platforms like WooCommerce, Shopify, and BigCommerce (both with and without developers).
3. Checkout interface and performance - I focused on a mobile-friendly interface, checkout options, and the flexibility to customize it (as per the changing customers’ needs).
4. Speed of payout - I checked the speed at which funds were deposited into the business accounts. I kept a check on whether it is taking a day, instant (with extra fees), or 2-3 business days.
5. Security and compliance - I thoroughly reviewed all the necessary compliance, like PCI-DSS, as well as fraud protection tools. Then, I also looked at how each platform is fulfilling expectations in terms of data security.
6. Customer assistance - I checked and tested how their customer support system works and how well they handle grievances in real time. This helped me understand if they are reliable or not.
Which payment gateways should you avoid?
These are some of the factors that helped me to discard some of the gateways that weren’t worth it. Have a look at them:
1. Complex or hidden fee payment - I simply avoided payment gateways that do not properly disclose processing fees, chargeback, setup, or monthly fees. These hidden costs can impact your margins negatively.
2. Delayed or slow payout system - I discarded the payment gateways that took more than 2-3 days to release money. If you stick to it, it can strain your cash flow.
3. Long-term contracts - It is better to avoid the gateways that only have long-term contracts or charge high fees for early termination. This way, you will avoid getting stuck in one place.
4. Integrates with only a few tools - If the payment gateway does not work well with your shipping applications, website, or other essential tools, it is better to avoid it.
5. Not optimized for mobile use - Most gateways are well-optimized for mobile checkouts. Still, I encountered a few that lagged during mobile checkouts. If you also experience this, it is better to skip it, as most buyers shop via smartphones only.
6. No or basic fraud protection tools - As online scams and chargebacks are rising, it is better to simply skip the ones that do not offer advanced fraud detection tools.
Most valuable payment gateways
1. Stripe - Best for e-commerce and developer-focused businesses.
2. Shopify Payments - Best and effective for Shopify users.
3. Helcim - Best for cost-effective and transparent pricing gateway solutions.
4. Payline Data - Best for flexible and monthly billing process.
5. PayPal - Best for a quick online setup with great buyer and seller protection tools.
6. Clover - Best for retailers who require a complete POS system with app and hardware ecosystem.
7. Square - Offers all-in-one POS and online stores with a free software system.
8. Authorize.net - Best for high-end systems and developers who often require recurring billing or e-checks.
A snippet of the payment gateways
| Payment Gateway | Best feature | Processing fee | Billing |
|---|---|---|---|
| Stripe | Offers powerful APIs and ML-based fraud protection tools. | It charges 2.9% + $0.30 on each successful transaction made through domestic cards. For other services like payment links, checkouts, and international payments, the pricing differs. For large payment volumes or unique business models, ot offers a custom package too. |
It has two plans - ‘Pay as you go’ plan - $0.7 on billing volume, and ‘Monthly’ plan - $620/month (1-year contract) for up to $100,000 billing volume. If the billing volume goes beyond that, it charges 0.67%. |
| Shopify Payments | Integrates well with the Shopify app and does not require any third-party setup. | Does not charge additional transaction fees when used on Shopify – only standard processing fees apply (e.g., 2.9% + $0.30 on Basic plan). | Offers a promotional $1/month pricing for the first 3 months on select plans for new stores. Then its paid plan starts at $39/month and goes up to $399/month. Shopify Plus, designed for enterprise brands, starts around $2,000–$2,300/month depending on traffic, volume, and custom features. It also offers some alternate plans - Starter - $5/month and Retail - $89/month. |
| Helcim | Offer interchange plus-pricing, and it is pretty transparent. | It offers several options: Average in-person plan charges 1.83% + $0.08 (combined), Keyed and Online plan - 2.27% + $0.25 for a transaction size of $300. Apart from these, there are also other plans for ACH/EFT direct withdrawals and pass-on fees (for passing fees to your customers). |
It charges 0.4% per transaction for recurr Best for tech-based e-commerce and SaaS platforms (serving globally)1. Stripe - Android, iOS, and WebI tried Stripe for e-commerce and SaaS businesses that served international clients. I was amazed to see how well it integrated with 100+ payment methods. It includes BNPL (such as Klarna), wallets, cards, and ACH. I liked its AI-based Radar for fraud protection. It saved a lot of time. It automatically detected suspicious charges. In just a click, I was able to add new payment methods. This helps us to scale smoothly. For the offline sales, it has Stripe Terminal and the Tap to Pay option. This was applicable at retail pop-ups and even at kiosks. Without juggling with multiple processors, it seamlessly handled everything. The SDKs and APIs gave us the flexibility to customize the checkout. Also, its payout schedule was quite predictable and customizable (through the dashboard). Pros:
Cons:
Pricing - Stripe’s typical transaction fee is 2.9% + $0.30 per online payment. Best for businesses on Shopify with zero-setup payment integration2. Shopify Payments - Android, iOS, and WebIf you have your online store on Shopify, Shopify Payments can be a great option. In just one click, I had access to options like Google Pay, credit cards, Apple Pay, and Shop Pay. Even though PayPal Express is not part of Shopify Payments by default, it can be enabled alongside. This flexibility helped me to increase the conversion rates instantly, especially on mobile phones. Also, for in-store payments, it has a POS app. This worked smoothly on Android 7+ and iOS 13+, though the best performance is seen on Android 10+ and iOS 15.1+, and it integrated well with readers like Tap and Chip. It has an all-in-one ecosystem that offers everything from real-time inventory updates, detailed insights, and reports (for both in-store and online sales). This helped me manage everything under one roof (without asking for any third-party plugins or software). Then, I saw its fraud analysis and security tools, like 3D Secure for custom authentication. With this, there were fewer chargebacks and better compliance. Pros:
Cons:
Pricing - It is free to start, and charges $1 for the first 3 months. Then its paid plan starts at $39/month and goes up to $399/month. Shopify Plus, designed for enterprise brands, starts around $2,000–$2,300/month depending on traffic, volume, and custom features. It also offers some alternate plans - Starter - $5/month and Retail - $89/month. Best for small to mid-sized businesses that require transparent payment processing3. Helcim - Android, iOS, Tablets, DesktopsI used Helcim for different types of payments (online, mobile, and in-person sales). It worked well with one dashboard. It supports ACH bank payments, credit/debit cards, mobile wallets (Google Pay, Apple Pay), invoicing, recurring billing, and also virtual terminal. I liked how it offers interchange-plus pricing with full transparency. It allows the option of Tap to Pay on iPhone. This helped me to make and receive contactless payments directly via my phone. This was suitable for field and pop-up services. Then, I tried using it across devices. Its card reader, POS app, and smart terminal worked smoothly on Android, iOS, tablets, and desktops. Within minutes, I was able to set up everything from inventory, sales, to customer data quickly. Also, their customer support was great. They answered my queries instantly and quickly solved the issues. Pros:
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Pricing - It does not charge for recurring payments. It has an interchange plus pricing. It offers 3 hardware options: 1. Smart Terminal - Costs $30/month for 12 months or charges $329 upfront. 2. Card Reader - Costs $99 (one-time purchase). 3. Tap to pay on iPhone - Costs 10¢ per transaction. Best for high-risk and mid-volume businesses4. Payline Data - Android, iOS, Tablets, and Desktops I used Payline Data and liked how it provides flexibility across different channels. It accepts in-store contactless cards, chip, swiped, invoices, online payments, and APIs. It smoothly does everything in one account. Its interchange-plus pricing was great. It reduced my average processing costs on each transaction (it varies as per the types of business). Also, the onboarding process was smooth enough to get started. I liked its transparency in terms of pricing. Its month-to-month agreements were great (it worked well without any cancellation penalties). In fact, my first month was completely free. The best part was its next-day deposit system. The funds were immediately deposited on the next business day itself. Its 24/7 customer support was also seamless. Pros:
Cons:
Pricing - For online and in-person sales, it has an average transaction amount ($25, $100, $250, $500, and $1000). To know the exact pricing, it has a calculator for the average monthly volume. Best for creative professionals and global-level entrepreneurs5. PayPal - Android, iOS, and WebI used PayPal for my online business and liked how it accepted payments through digital wallets, Venmo, bank transfers, crypto-based checkout, and its BNPL options. Then, I tried its mobile-based POS reader (PayPal Zettle). It smoothly handled chip and contactless payments. I could easily link to the mobile application and started selling in just 5 minutes. For cash flow management, I liked how it instantly gave me access to the funds. This included Instant Transfer and Business Debits as well. I loved using its set of robust tools for seller protection, creating invoices, loans for working capital, and monitoring risks. All this was accessible in one dashboard itself. This helped me to systematically manage all my back-office tasks easily without paying any extra costs. If you are a small business, you would love its built-in features without needing third-party software or monthly subscription fees (standard transaction and optional service fees apply). Pros:
Cons:
Pricing - PayPal’s core payment processing has no monthly fee, but optional tools like PayPal Pro or subscriptions may start at $49/month. Transaction fees apply per sale. Best for traditional retailers, event vendors, and restaurants6. Clover - Android, iOS, Tablets, Desktop,s and Countertop TerminalsI used Clover for a boutique retail store and for its pop-up events, and I was simply impressed with it. It worked across NFC mobile wallets (Samsung, Google, and Apple Pay), swipe, chip, checks, and also through QR (through Venmo and PayPal). I was able to quickly set up and plug in any device. I just plugged it into one of my devices and opened the Clover POS app, that’s it. For mobile-based orders and sending invoices, it has a built-in terminal on desktop, and this was super helpful. For retail counters, it has the Clover App Market, which helps to install a time-tracking system for employees and loyalty programs as well. Without the need for any additional software, it synced well with sales and inventory reports. Pros:
Cons:
Pricing - The pricing plans differ as per the type of service you choose. Usually, there are 3 plans - Starter, Standard, and Advanced. Best for cafes, retailers, and event vendors7. Square - Android, iOS, Tablets, Desktops, and Countertop TerminalsI used Square for pop-up cafes, and it was great. It handled everything from ACH transfers, chip, swipe, contactless payments, mobile wallets (Cash App, Google, Apple Pay), and QR payments through one single app. Its transition from mobile reader to countertop terminal or Stand was super smooth. With this, I was able to scale it easily without switching to different systems. Also, I liked how its latest Square Handheld (costs $399 and comes with a built-in camera, scanner, and offline features) helped me to handle my workflow effectively. Then, I looked at its dashboard, and it was quite powerful. It gave me insights into inventory trends, real-time sales, staff performance, and best-performing items. This was pretty useful in making decisions. For cash flow, I opened a free account with Square Checking. This gave me instant access, and I was able to deposit the money the next day. It offered all this without any extra fees. Pros:
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Pricing - It offers a free plan (includes processing fees), a Plus plan - starts at $29+/month + processing fees (exact pricing depends on the type of business you choose), and a Premium plan with custom pricing + processing fees. Best for subscription-based businesses and developers8. Authorize.net - Android, iOS, WebIf you are a developer, you might prefer using this gateway. It offers multiple checkout and recurring billing options. It simply supports debit/credit cards, eChecks, PayPal Express Checkout, and Apple Pay. Its Automated Recurring Billing (ARB) helped me to set up subscription payments nd installment plans easily (without storing my card information). I liked its virtual terminal. With this, I was able to smoothly process orders from the desktop interface. Also, I admire its Advanced Fraud Detection Suite. It has some interesting customizable filters for IP, velocity, geolocation, etc. This gave me full control of the suspicious transactions. Pros:
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Pricing - For qualified applicants, the monthly fee for gateway services is $25/month. Feature comparison Which payment gateway is most suitable for your business?It totally depends on what type of business it is. As per my experience and needs, Helcim is the best option. I wanted a payment gateway for a service-focused business with online and retail payments. Since it was for a small business, I was looking for an affordable and flexible solution. Helcim was great at all those aspects. It offered transparent-plus pricing, with options like Tap to Pay on iPhone, virtual terminal, as well as free POS tools. It performed well for online, in-person, and mobile payments without extra costs. Other options like Stripe and Square were also quite effective. But they are more suitable for high-volume e-commerce and retail setups, respectively. Helcim was somewhere in the middle, light to use with a professional setup for a small-sized business. Without writing a single code initially, I liked how it still offered advanced tools. If you are someone who is looking for a transparent, all-around, and simple payment gateway to start your e-commerce business, you may consider Helcim as a viable option. Not-so-popular gatewaysHere are some of the underrated gateways that you can consider: 1. Stax (formerly Fattmerchant) - This one is great for high-volume businesses that are looking for features like recurring billing, invoicing, and smooth customer support. They support payment methods like online, in-person, and mobile payments, too. It works on a subscription-based model and starts at $99/month with 0% markup on interchange. 2. Payment Depot - If you are a merchant who processes over $20k/month with has up $2,50,000 in annual transaction volume, then this gateway can be the best fit for you. It supports mobile, POS, and e-commerce solutions as well. In terms of fees, it offers a wholesale interchange-plus model with a monthly subscription starting at $79 (the exact pricing depends on annual processing volume). 3. BlueSnap - If you are willing to expand your e-commerce business internationally, without any high-end setup or monthly fees, then BlueSnap can be a good option. With robust fraud detection tools, it supports global wallets, 100+ currencies and integrates well with e-commerce platforms. It charges 2.9% + $0.30 per transaction. Use-case specific recommendations1. SaaS and e-commerce industry (serving globally) - If you often have international customers or sell digital products, then using Stripe can be a great choice. I used it for a jewellery brand and it worked well. I mainly used it for recurring payments and wallets (to be used globally). I liked how it gave me full control to customize checkout and user flows. 2. DTC brands and Businesses on Shopify - If you use Shopify for your online business or have a business in the DTC area, then using Shopify Payments would be more convenient for you. I tried it for an apparel brand, and it was amazing. It integrated well with Shop Pay, and mobile checkouts were smoother. Without charging extra fees for setup or processing fees, I liked working with it. 3. High-risk business areas - I was looking for a gateway for high-risk businesses in the wellness area. Their volume wasn’t high; it was in the mid-range. They wanted a flexible gateway setup for POS and online sales. So, I used Payline Data. It was quite reliable with no long-term contracts and worked smoothly. 4. Service-focused SMBs, freelancers, and consultants - If you have a small business like coaching, Helcim can be a great payment option. It allows you to make invoices for free with no monthly charges. Its Tap to Pay on iPhone method worked well, and its transparent payment felt more reliable. 5. Creative professionals (serving globally) - My client wanted to sell digital templates globally without much hustle. I simply used PayPal. Since it is globally trusted, it was easy to gain the customer’s trust. Apart from that, it is a great no-code gateway that helped me start in just a few minutes, and its built-in protection was amazing. 6. Salons, retail counters, and restaurants - I worked with a local boutique; it was a small startup and thus wanted all-in-one software. I used Clover. It's all-in-one POS software, and the staffing tools were great. I liked how it handled staff logins, inventory, and payments while ensuring that it syncs well with the online store. 7. Cafes, mobile stores - A popup cafe wanted a simple gateway that could smoothly work, without any chaos or complex setup. I used Square for payments. It was quite easy to use. I quickly connected the reader to their phone, and we were able to accept tap payments easily (it is possible even without any hardware on an iPhone). Also, I liked how it tracked our sales systematically with its free POS system. 8. Healthcare, non-profit, and legacy-based businesses - I worked with a nonprofit organization that required a payment system for recurring donation billing and manual card entry (via the phone). So, I used authorize.net for it. Its filters for fraud detection, virtual terminal, and smooth sync worked well. Latest innovations and payment trendsAfter hands-on testing dozens of gateways, I found that the Tap to Pay on iPhone option is no longer an option, but a necessity these days. This is beneficial, especially for individual business owners and pop-up sellers. I used it while I was testing Square and Helcim, and honestly, it was worth it. After testing a lot of payment gateways, I saw how the Tap to Pay on iPhone option has become a necessity, especially for pop-up sellers and individual business owners. I used it through gateways like Square and Helcim and found it very effective and seamless for those who wish to make payments anywhere. Another thing that I noticed was embedded payments. Gateways like Shopify and Stripe offered BNPL options, bank debits, and helped me activate local wallets without taking any extra time. I was able to cater to both millennials and Gen Z customers who want instant, flexible checkout and ACH options. I also saw that there is a visible shift towards monthly and transparent pricing models. Customers are more likely to use those gateways that offer a flexible and transparent pricing structure with no hidden charges or fees. Thus, I believe that payment tech is now turning more towards ethical pricing, mobile-focused checkouts, and flexibility with no-code options. 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Schedule a demo What to read nextFrequently Asked QuestionsIf you have more questions, we are here to help and support. Which is the safest payment gateway? Stripe is one of the safest payment gateway options you can consider. It has advanced features like fraud detection (Radar) and is PCI-compliant. Which payment gateway is best for a small business? Square is a great choice for small businesses. It is easy to set up and comes with all-in-one features for payroll, POS, and online store. Which payment gateway has the lowest charges? National Processing and PaymentCloud are some of the most affordable payment gateways that offer interchange-plus pricing. Should I use Stripe or PayPal? It depends on your usage. If you need a payment gateway for quick and easy integration, then PayPal is good. If you are looking for high customization, then Stripe is better. Is it safer to pay with PayPal or a debit card? Yes, it is safer to pay with PayPal than a debit card, because it simply hides your bank details and offers better security. What is the easiest payment gateway to set up? In terms of setup, PayPal is the easiest option as it only asks for your email ID and bank account details, and does not require a single code. Create the automation that drives valuable insights |
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