Top 5 Payment Gateways in India

If you’ve just set up your eCommerce store or decided to digitize your small business and sell your products online, you need a payment gateway to accept payments from your customers. There are many payment gateways available in India that allow customers to make payments online

However, we have made the process of picking the best payment gateway for your online store easier by compiling a list of top payment gateways in India. 

Here are the top best payment gateways for India that you can integrate with your website or mobile application for seamless online transactions.

What Is A Payment Gateway?

A payment gateway is a service that enables merchants to accept credit card and other forms of electronic payment from customers on their online store. The payment gateway acts as a secure bridge between the merchant’s website and the payment processor, which handles the actual transaction and transfer of funds.

When a customer makes a purchase on an online store, the payment gateway processes the payment by verifying the customer’s payment information and transmitting the necessary data to the payment processor. The payment processor then communicates with the customer’s bank or credit card company to confirm that the funds are available and to complete the transaction. Once the payment is approved, the payment gateway sends a confirmation back to the merchant’s website and the order is completed.

Payment gateways are an essential component of any online store, as they provide a secure and convenient way for merchants to accept electronic payments from customers. There are many different payment gateways available, and merchants can choose one that best meets the needs of their business and their customers.

Let’s evaluate the best 5 payment gateways for India (List):

1. PayPal India

PayPal is a global name and offers services in 200+ countries. They offer business loans, web payments, apps, etc for a richer customer experience.


What’s included?

  • Customized invoices to customers to get payments quickly & easily
  • Live customer support
  • Receive money in 100+ currencies
  • PayPal Here Card & Apps processes payment creates an invoice and tracks sales.

It also offers, 

  • Zero initial setup fee.
  • Zero annual maintenance fee.
  • Secure with 128 bit SSL encryption and two-factor authentication
  • App-ready with mobile SDKs for Android and iOS platforms.
  • A wide range of payment options includes debit and credit cards from all card associations, 50+ net banking, UPI payment mode as a default checkout option, and digital wallets.

Transaction fee:

  • 2% + GST for domestic payments.
  • 3% + GST for international payments.

2. PayU Money

One of the largest gateways in India. It has assured the lowest prices.


What’s included?

  • Zero setup and maintenance fees
  • SSL and 2FA
  • Transaction management
  • Integrated Payment system
  • Payment Options (Netbanking, UPI, Cards, Wallets)

Transaction fee:

  • 2% + GST for domestic payments.
  • 3% + GST for international payments.

3. RazorPay

It allows us to accept, process, and disburse payments. Brands like Udacity, Grofers, HotStar use this.


What’s included?

  • Easy integration
  • API Driven
  • 100+ Payment options
  • Dashboard reporting
  • Instant activation

It also offers, 

  • 100+ payment options including PayLater and NEFT/RTGS payments
  • UPI auto pay
  • Subscriptions base features
  • Smart Collect (using UPI, BharatQR, ePOS, NEFT, etc)

Transaction fee:

  • From 2% to 3% depending on the payment mode

4. CCAvenue

Start off without any worries with a zero setup fee. Brands like Myntra, MakeMyTrip, Starbucks Coffee, and ClearTrip are its customers.


What’s included?

  • Zero setup fee
  • 200+ Payment Options
  • Mobile Payments
  • Analytics
  • Multi-Currency Processing

It also offers, 

  • Accept payments in INR, USD, EURO, etc
  • 200+ payment options including EMI options.
  • Support credit cards such as MasterCard, Visa, Diners Club, Amex, etc. 
  • CCAvenue can be integrated with your website for free 

Transaction fee:

  • 2% – 3% for domestic Credit/Debit cards.
  • 0% for UPI payments.
  • 3% – 4% for international Credit cards.

5. Instamojo

It’s the fastest-growing platform for eCommerce businesses. To create payment links, share with customers, and get paid instantly!


What’s included?

  • Payment buttons
  • Free tools
  • Shareable payment links
  • Visual charts of payment
  • Dispute Resolution Center for your buyers
  • Deciding on your payment gateway

It also offers, 

  • Supports 100+ Payment Methods
  • It is one of the PCI DSS compliant payment gateway in India
  • no charge for NEFT/RTGS or bank transfer
  • Allows merchants to charge a convenience fee to their customers.

Transaction fee:

  • Zero setups & maintenance cost
  • 2% + Rs 3 per transaction on domestic credit/debit cards, net banking, UPI, & wallets.
  • 3% + Rs 3 per transaction on American & other international cards.

Get help to choose & integrate the best payment method for your eCommerce.

Imagine this: You have a beautiful and speedy website. Your customer is impressed and is about to complete the transaction but the payment fails. That would hurt bad, right?

The ultimate goal of your website is sales. Your decision should take into consideration various aspects like integration, quick resolution center, currency support so that there’s no failure.

Avoid going for a payment gateway “only” because of the low cost. There are high chances you will have to invest a lot of your time in integration and setting up everything on your own.

Author Bio

Sakshi Behl is a marketing manager at MageHost, a Managed Magento Hosting Company. She specializes in content marketing and has knowledge of WordPress, Magento, and Hosting. You can connect with her on LinkedIn