Top 10 Payment Gateways for E-commerce Websites

ecommerce payment gateways

List of Best E-Commerce Payment Gateways

As E-commerce is on the boom, buying and selling are literally becoming an online activity. It’s not surprising that with the advancements in technology, the majority of transactions have now become electronic and most people prefer the trade being done online. Unlike its traditional counterpart, online buying and selling need considerable security while the transaction is taking place. Highly confidential information are exchanged during transactions and there are possibilities for the privacy of this information being breached. The number of fraudulent activities pertaining to these transactions is on the rise as each day passes. To prevent these notorious activities, proper security measures has to be in place. This is where e-commerce payment gateways become handy.

E-Commerce Payment Gateways are said to be software that authorizes the transaction between the buyer and the vendor. Typically it’s an application service provided to the seller by a service provider. In simpler terms, payment gateways encrypt sensitive information say credit card details and facilitate its safe passage between the customer, vendor and the bank. It also facilitates the acknowledgment of the payment or response from the vendor to reach back the customer.

When a transaction has to take place, the e-commerce payment gateways undertakes a series of tasks. Suppose, when a customer wants to purchase a product online, he or she places the order and will be directed to the payment gateway page. Here, the credit card details and other transaction details are collected and stored on the gateway’s secured servers. From here, these details are sent to the issuing bank after the transaction is processed. The bank sends a response to the gateway whether or not the transaction can be approved. Once the response is obtained from the bank, the payment gateway sends the details to the vendor’s website and they inform the customer whether the payment is successful or not.

As for the e-commerce websites, having a good payment gateway have now become a must. If the e-commerce payment gateways being used are not trustworthy or is poor in functioning, then this makes a direct impact for the vendor and makes them loose credibility. In this age where suspicious activities pertaining to online transactions are common, it is an absolute necessity for sellers to make use of payment gateway services that are credible and efficiently functioning.

For some merchants planning to venture into the online arena, choosing the right payment gateway may feel like a cumbersome task. This is basically because they feel overwhelmed by the number of options that are available in front of them. Choosing the right payment gateway for an e-commerce website is not such a complex task as it looks. If certain facts relating to your business are considered the options can be minimized from a large array of e-commerce payment gateways to the one you must choose.

Let’s take a look at the points that you should consider before making the choice.

  • The Cost

The cost that will be involved is a huge factor to consider. Payment gateways mostly come with price tags; set up cost, monthly charges or fees per usage. Be wise enough to choose the one that fits your budget and the size of your business so that proper regular payments could be made. It’s better to avoid e-commerce payment gateways charging monthly payments if the number of sales that you do are minimal. Also, there are gateways with no initial set-up costs but their monthly or usage payment rates may be higher. Always consider all these facts before making a choice.

  •  The type of E-commerce payment gateways; Classic or Modern

For those who are not familiar with e-commerce payment gateways, there are two main types. They can be referred to as Classic and Modern.

Classic Payment Gateways are the ones that have been around for a long time and are trustworthy. They have been tested and perfected over these years and stands tall as pioneers among the payment gateways. One peculiarity about these e-commerce payment gateways is that they require the vendor to have a merchant account. A merchant account is a special account through which merchants can accept credit/debit card payments. It is to be considered that there may be difficulties in obtaining a merchant account if you are just starting out. Even though setting up a classic gateway may seem difficult, the cost may be less compared to its counterparts.

Modern Payment Gateways are simply the ones that do not require a merchant account to set up the payment gateway. Here the payments are directly done to the account of the seller. Example for a modern payment gateway includes the highly popular PayPal. Setting up these kinds of e-commerce payment gateways are easy compared to its counterparts and usually integrating the gateway to your website is also simpler.

  •  The pace at which you need to receive the payments

The amount of time taken for your payment to be settled varies with each e-commerce payment gateways. It should be understood that the seller will get the confirmation of the payment from the customer immediately but there would be delays for the payment to be credited to the vendor’s bank account.

  •  Trustworthiness

This is a criterion that should not be left out at any cause. Do not choose from the e-commerce payment gateways that cost less but compromise in quality service. It is very important that the payment gateway is not erroneous, does not cause delays to the customer and is highly secure. If the payment gateway that the seller uses is not appreciable to the customer, then it could have colossal effects for the merchant. There would be a downgrade in the sales, loss in profit and above all would affect the good reputation that the company holds. Therefore, it is vital to choose e-commerce payment gateways based on their trustworthiness.

Now that we are done with the discussion of what to look for in an e-commerce payment gateway, let’s turn the discussion to the top 10 e-commerce payment gateways available in India (in random order).


1. Instamojo

e-commerce payment gateways

Instamojo claims to be ‘India’s largest on-demand payments and e-commerce platform’. Having a user base of around 1.5 million, Instamojo is among the top popular e-commerce payment gateways in India. Instamojo was established in the year 2012 and since then have been providing excellent services to their users. Among other e-commerce payment gateways, what makes Instamojo stand apart is the simplicity to get started. Now there is a feature available called instant overboard which essentially requires the user only to answer few questions to set up a trial account. This doesn’t require any documentation either. In fact, only the bank statement and PAN number are essential to creating a full account.


High-level security

Instamojo claims to provide bank level security. They provide 128 bit SSL encryption which is impressive.

Requires no technical skills

Minimal or no technical skills are necessary for setting up Instamojo. It can function with or without a website.

Easy setup

As mentioned above, no documentation is required to get started and set up a trial account.


Set up fee: Zero

Annual Maintenance: Zero

Per transaction cost (for Debit/Credit cards, net banking, wallets, UPI): 2%+ ₹3 per transaction.

For digital products and file hosting: 5% + ₹3 per transaction.


2. EBS

e-commerce payment gateways

Electronic Billing Solutions or EBS is based in Mumbai. It started functioning from the year 2005 and they provide excellent service in facilitating online purchases from the vendor’s website. They allow the collection of payment from customers using a credit card, debit card, and net banking. They are the first Indian merchant account service provider to have the PCI DSS 3.0 standard (Payment Card Industry Data Security Standard) which is administrated by the Payment Card Industry Security Standards Council. They also hold a money back policy in case the customer is dissatisfied within the first 14 days. The main advantage Electronic Billing Solution compared to other e-commerce payment gateways is that it supports ample amount of payment options available so that the success rate of the merchant increases.


Verity of Payment Options

EBS supports over a hundred payment options including 6 credit card brands, 73 debit cards including, 8 prepaid cards or wallets, 50+ net banking options, 8+ Bank EMI.

Low Failure Rates

The failure rates in payment completion are low while using EBS. They provide an interesting feature ‘Auto Retry’ where the customer is redirected to an intermediate page if the transaction fails due to any reason. In this intermediate page, the customer can either choose to use the same payment mode or an alternative payment mode to continue the transaction successfully. This helps prevent abandoned transactions and EBS claims that it can increase the success rates by 10-12%.

Smart Routing

This feature ensures the best success rates as the transactions will be switched to the best performing gateway. Whenever a merchant is integrated to EBS, their merchant account is assigned with multiple payment gateways. Your transaction will be dynamically switched to the payment gateway that performs the finest based on success rates.


There is an interesting provision to customize the payment page according to the merchant’s desire. The merchant can set up the look and feel of the payment gateway in accordance to his website. There’s also a feature enabling the merchant to upload the logo of his company on the payment page and also can choose a color theme for better aesthetics. The options to be displayed can be also customized so that the vendor can decide what and how information should be displayed on the payment page.

Fast account activation and minimum technical effort

The merchant’s account will be activated within a short span of 24 hours and he can accept payments from day one. Also, the process of integration is simple and needs only minimum technical knowledge.

Accept international payments

The EBS Payment Gateway accepts cards that are issued around the world including American Express, JCB, and Diners.

Real-time statistical reports

Among all the e-commerce payment gateways, EBS is a one that provides real-time statistical reports to check out your business performance in the industry. These reports have 100% transparency and are really helpful in analyzing the business.

Secure Transactions

EBS facilitates highly secure transactions. They provide SSL software encryption and is also DSS 3.0 compliant. EBS respects privacy and discloses what information they collect and how this information is used.


EBS provides a starter account and premium account. For the starter account, the setup is free of cost.

Transaction rates vary from 2% to 3.25% based on the mode of payment.

The premium account pricing is available only on direct request to EBS.


3. CC Avenue  




CC Avenue is one of South Asia’s largest e-commerce payment gateways and is the trusted service provider for around 85% of e-merchants in India. Also, they are one of the oldest e-commerce payment gateways in India. They offer high-quality services in multiple currencies, multiple payment options online payment processing.


A variety of payment options

Like EBS, CC Avenue also provide a wide verity of payment offers. The number of payment options available is around 200 which is highly impressive.  The payment options available include 7 Credit Cards, 53+ Net Banking, 98+ Debit Cards, 7 ATM Cards, 48 Bank’s IMPS, 16 Prepaid Instruments, 12 Bank EMI etc.

Can process multiple currencies

CC Avenue accepts payments from customers from 27 major currencies. This feature allows the merchants to have their customer circle around the world. Foreign customers attracted to a business need not stay back anymore because of the flexibility that CC Avenue offers in making the payment.


The payment page is made available in multiple languages by CC Avenue. The languages offered include foreign and Indian languages. 18 languages are available in total and this is really helpful to boost international sales and also increase local sales within India.


Just like EBS, CC Avenue also provides customization feature. There’s provision to add the company logo, add themes and much more to make the user experience top class.

Retry Option

The Retry system provided by CC Avenue reduces failed payments. If any error occurs the customer is redirected to a page which shows the reason for the failure. The customer has up to three attempts to use the same payment option or he may choose an alternate payment option to complete the purchase.

Convenient Checkout option

This option enables customers to store their credit and debit card credentials, billing and shipping details for future use. For the regular customers, their credit card details are saved in an encrypted form and they only need to enter the CV/CCV while using the gateway next time. This feature provides convenience, smooth buying experience and encourages customers to purchase again.

Store Front for those who don’t have a website

A customizable store front is offered by CC Avenue to its vendors who do not own a website. This does not require any expertise in technical or design field. It allows to simply choose a template, upload products and accept purchases. Designed using responsive web design, the storefront provided by CC Avenue can be used using all devices.

CC Avenue S.N.I.P

Allows to sell products and collect payments in-stream across the social network so that the merchant can reach out to a wide range of customers.

Easy invoice payment

CC Avenue makes the payment of invoices easier. Provides features to simply invoice payments such as multi-currency support, SMS/email payment, Bulk payment and recurring invoice payment.

CC Avenue PhonePay

This option enables customers to make the payment via their phones. Secure Interactive Voice Response System enables to collect payments securely over the phone.

Fraud & Risk Identification System & Knowledgebase (FRISK)

Using modern technology and human intelligence, CCAvenue F.R.I.S.K. engine provides a great risk detection tool that helps assess each transaction against a negative database collected in a decades time. Transaction controls like velocity checks and blacklist controls are provided to set specific criteria to limit risk exposure. This enables the merchant to restrict fraudsters from transacting on their site by blocking their Country, Email ID, Card Number or Geo IP location.


4. Razorpay



Razorpay is relatively new in the arena of e-commerce payment gateways. Launched in the year 2013, the user base is comparatively less with around ten thousand users.


The Payment can be done on the same page of the merchant.

Easy to embed RazorPay into the merchant’s No technical skill is mandatory for this.

RazorPay supports iOS and Android devices.

Supports a verity of payment modes.


It has a custom made plan for newly incorporated companies called  ‘The Startup Plan, which processes only domestic payments, has no setup or yearly fee, and charges 2.5 % + service tax for every successful transaction completed. The business plan for established companies is capable of processing international payments charges with Rs 5000 setup fee and a Rs 5000 yearly maintenance fee.


5. Pay With Amazon

e-commerce payment gateways

Pay with Amazon started functioning in 2007. To further enhance their service, they acquired Emvintage in 2016. Pay with Amazon allows customers to shop on the merchant’s website with the details stored on their Amazon account. In simpler terms, after a customer has selected his products, he or she selects Pay With Amazon option. The customer can then sign in using their Amazon account and select payment and delivery options. The increased popularity of Amazon is a positive factor for merchants who use this e-commerce payment gateway. Pay with Amazon also gives an opportunity to make use of their logistics service Amazon Easy Ship.


e-commerce payment gateways amazon

Why Pay With Amazon?  

Increased success rates

Because this payment gateway uses details that are already stored, possibilities for errors are minimal.

Make Amazon customers yours

Any number of customers can register into your merchant site using their Amazon account details. This contributes to expanding the business reach.


Like most other e-commerce payment gateways, Pay With Amazon also provides strong fraud protection.

Delivery Service

You can make use of the Amazon Easy Ship, their delivery service. It is known for its quality and excellent service. The logistics cost can also be reduced.


Credit/debit card payments, net banking are available at a rate of 1.95% of sales. They don’t charge extra for setup and fraud protection.


6. PayU Money


e-commerce payment gateways payu


PayU Money is one of the fastest growing e-commerce payment gateways in India and started its functioning in 2011. They have big names such as Snap Deal among their customer’s list. They are popular worldwide and made an interesting acquisition of the popular payment gateways Citrus for $130 Million. They allow to get started instantly and collect payments. PayU money can be very useful for small businesses. You only need a savings account to use PayU Money. The payments from your customers can be directly collected to your account.


Fast and Easy Registration

The registration process is fast and easy. It would only take about 5 minutes to get your account ready.

Receive funds fast

It would only take about two days to receive the payments into your account.

Mobile friendly

PayU Money is also mobile friendly and provides features like auto read OTP and also allows to continue payments dropped due to a bad network.

Easy customer login

Customers can make payments by just using their email ID.


The setup and annual maintenance are free of cost.

2% of sales for normal transactions and 1% extra for AMEX cards.


7. DirecPay 

DirecPay is a bank-neutral payment gateway service provider. They were one of the first e-commerce payment gateways in India to provide credit card payment gateway integrated with a debit card, net banking, and mobile payments.


Realtime MIS

Offers real-time MIS to the merchant about all facts related to the customer’s payment transaction on the merchant’s website.

Track Unsuccessful Transactions

DirecPay alerts the merchant about any unsuccessful transactions. This allows the merchant to get in contact with the customer to ensure completion.

Integrated Shopping Cart

DirecPay also provides an integrated shopping cart facility.


Setup fee: Rs. 6000- Rs. 36000

Transaction costs 1.5% – 5.5%


8. Braintree payments  

Braintree is a popular global payment gateway that is available in 44 different countries. It was established in 2007 and has been a global player in the field of e-commerce payment gateways. The provide numerous payment option, worldwide availability and a high level of security.


Worldwide availability

As mentioned earlier, Braintree Payments are available in 44 countries. This helps the merchant to give service to foreign customers as well.

Recurring Billing

Braintree makes it easy to receive recurring payments such as subscriptions.

3D secure

3D secure is another security measure provided by Braintree. This feature is easy to integrate into the merchant’s website yet difficult to crack.


The pricing is at 2.9% of sales for usual transactions. There is also an additional 1% charge for payments in foreign currencies.


9. ZaakPay

ZaakPay is an e-commerce payment gateway that was established in the year 2011. They let the merchant accept payments in multiple currencies.This payment gateway is gaining popularity each day and provides service to over 500 merchants. They claim to have successfully completed over 1 billion transactions.


Payment modes

ZaakPay allows the merchant to accept payments from a wide array of modes. This includes Visa, Mastercard, Discover and Diners card and 52 banks.

Multiple Currency Support

Allows accepting payments from multiple currencies including Euro, Dollar, and Rupee.

Auto Retry Payment

Allows features like auto retry and customized reporting.


The charges for transactions with ZaakPay is approximately 3%.


10. Transecute

 e-commerce payment gateways transecute

Tranecute is an Indian payment gateway that offers affordable service that is suitable for both large and small businesses.



Transecute allows merchants to customize the payment page according to their needs. You can make the payment page similar to your website to give your customers better user experience.

Merchant MIS interface

Transecute provides a good merchant back office interface. It allows to easily change settings, views transactions and configures preferences.

Secure and easy integration

They are also well known for the easy and secure integration that they provide. Readymade integration kits for ASP, PHP and JSP are also available.


Setup Charges: No charges

Per Transaction Fees: Based on volume

Integration Charges: No charges

Withdrawal Charges: No charges

Technical Support: Free of cost

Final Note

We have looked into the various criteria that you should take care while choosing an eCommerce payment gateway and also have seen the leading and trustworthy payment gateways available in India. Remember to keep all these facts in mind and choose a payment gateway for your eCommerce website wisely. If you have any doubts regarding this topic feel free to contact our professional team at Dotz Web Technologies for the best eCommerce web development in Cochin, Kerala, India. We also provide quality service in web designing and development and is one of the best SEO company in Kerala.


Top 10 Payment Gateways for E-commerce Websites
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Top 10 Payment Gateways for E-commerce Websites
Check out the list of top 10 e-commerce payment gateways which can help your e-commerce business growth.
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Dotz Web Technologies
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  1. Thanks for the article, very useful! I started to use month ago G2A PAY as a payment gateway and no complains! It should definitely be on your list

    I sell digital gift cards (check my website below) and I needed payment methods popular in countries my clients are buying from like Turkey. So what G2A PAY offers is over 200 payment methods global but also local popular in different region (it really does make a difference!)
    good luck all

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