To collect payments from your sales, you need to use a payment gateway. A payment gateway is a service that processes payments and deposits them into your bank account. It ensures all sensitive information is encrypted to keep customer data safe.


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Choose a payment gateway

There are many payment gateways that you can use to process payments for your store. The first step is to check which gateways are available in your country. Shopify Payments, Stripe, Authorize.net, 2Checkout, and PayPal are popular options available in many countries.

When you know the payment gateways that are available in your country, choose the gateways you want to add to your store based on you business needs:

  • Business type: Be sure the gateway supports a dropshipping business model. Using a payment gateway that does not support dropshipping could result in your payment gateway being disabled, preventing you from accepting payments. In some cases, the payments collected against their terms of service might be forfeit.

  • Chargebacks: Check if the gateway offers chargeback insurance or a risk analysis on each payment processed. Learn more about chargebacks and inquiries process.

  • Customer preferences: Check if the gateway and payment methods available are familiar to your customers. For example, if you decide to use PayPal, then make sure PayPal is a well-recognized payment method in the country where you sell.

  • Direct and external providers: Direct payment gateways integrate into your store, so customers can pay on the Shopify checkout, without leaving your store. Direct payment gateways provide the smoothest experience for your customers. External payment gateways require your customers to leave your store to complete the payment on the third-party checkout. The customer is then redirected back to your store, to view their order summary and confirmation page.

  • Fees and costs: Some payment gateways have a monthly fee, others only charge a percentage of the payments processed through the gateway. Some might have both.

  • Payment methods: The country you’re located in, and the currency of your bank account, can both impact which types of cards, alternate payment methods, and currencies your gateway can process.

  • Payouts: Check how quickly payments are deposited to your bank account. Fast payouts help ensure your business has the available money to purchase products from suppliers, cover marketing or other operational costs.


Set up your payment gateway

The steps to set up the payment gateway can differ with each gateway. In some cases, you might need to log into your payment gateway’s platform to get your credentials to complete the setup in Shopify.

Some payment gateways review your online store to make sure it looks good, has all needed policies, and offers the possibility to contact the store owner. Learn about how to make your online store look professional before you apply for the payment gateway account.

Set up Shopify Payments

Shopify Payments is only available in certain countries.

Steps:

  1. From your Shopify admin, go to Settings > Payments.

  2. In the Shopify Payments section enter the required details about your store and banking information. The information required will vary depending on your region. For example, shops in Europe need to enter a Value Added Tax (VAT) number or indicate that you do not have one.

  3. Click Save.

If you already have another payment provider activated, then setting up Shopify Payments will deactivate and replace the original payment provider with Shopify Payments.

Set up PayPal

PayPal is a popular payment method available in many countries. When you sign up for Shopify, if PayPal is an available payment provider in your country, then Shopify creates a PayPal account for your store so you can process payments right away. The PayPal account created by Shopify uses the same email address that was used to sign up for your store.

Before you can collect payments for orders made with PayPal, you need to finish setting up your PayPal account.

If you don't have a PayPal business account with the email address you used to set up your store, then you can add your email address to an existing PayPal account or sign up for a new PayPal business account with the same email address you used to set up your store.

Set up a third party payment gateway

Steps:

  1. From your Shopify admin, go to Settings > Payments.

  2. In the Third Party Providers section, click Choose third-party provider.

  3. Select a payment provider from the list.

  4. Enter your account credentials for the selected provider.

  5. Optional: Contact your payment provider if you need to get your credentials.

  6. Click Activate.


Test your payment gateway

Before you make your online store public, be sure to test your payment gateway. If it's not working, then it could prevent customers from placing orders.

You need to be on a paid Shopify plan to test your payment.

Some gateways have a dedicated test mode, while others might require a real charge to be processed. For further testing instructions, refer to the documentation offered by your payment gateway.

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