The Top Online Payment Systems


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Ecommerce merchants have many payment options. I’ll discuss my top choices for accepting online payments.

This table will help you understand the most common online payment methods and help you select the right one for your company.

A quick primer on online payment methods

Before you start, here are some definitions of online payment systems.

  • ACH payments enable customers to electronically pay utility bills, mortgage loans, and other bills using credit and debit transfers. Many payment processors offer ACH payment options to their customers, especially for monthly and subscription-based transactions.
  • Merchant accounts allow customers to pay with debit or credit cards. These are bank accounts that enable customers to make payment using their debit or credit card. A variety of processors, including those listed below, can act as the merchant account and the payment gateway.
  • Merchants are able to securely transmit credit card information between customers and merchants. The payment gateway acts like a middleman between the merchant’s bank and the sponsoring banks.
  • A payment processor refers to a company that merchants use for credit card transactions. Payment processors use anti fraud methods to protect the merchant as well as the customer.
  • PCI compliance is merchants and payment gateways who have set up their payment environment according to the Payment Card Industry Data Security Standard. PCI DSS was created by the Payment Card Industry Security Standards Council to increase security and decrease fraud.

9 top online payment platforms

There are many online payment options. 

  1. Authorize.Net
  2. PayPal
  3. Google Pay
  4. Amazon payment
  5. Dwolla
  6. Stripe
  7. Braintree
  8. WePay 
  9. Verifone

1. Authorize.net

Authorize.net serves more than 445,000 merchants, and is one the most used payment gateways on the Internet. The payment solution for Visa has handled over a billion transactions each year since 1996.

Authorize.net works with many popular ecommerce platforms, such as Magento or Volusion.

2. PayPal

PayPal is the most popular payment acquirer worldwide, with more than 19 million payments processed by 2021.

You can either pay with your existing account, or with your credit cards. Users are prompted to create a PayPal account.

PayPal makes it possible to send money and make payments via the site. Only a few online payment options have this feature.

Pricing: PayPal charges 49C per transaction, plus 2% to 4 percent for most domestic transactions. There are no setup or monthly fees.

3. Google Pay

GooglePay Google’s answer to PayPal. GooglePay allows you to pay for goods and services with an account linked to your Google profile.

Google Pay has a significant advantage over other payment options. Google is used by millions of Internet users to search for other services. It is now easier to purchase using Google Pay.

Google Pay is available to merchants for free. A credit card company may charge a transaction fee if a shopper uses Google Pay in store.

4. Amazon Pay

Amazon payment lets customers make simple online purchases using payment methods that they have saved to Amazon accounts. 

Amazon Payments charges 2.9% plus $0.30 per transaction for domestic payments via mobile or web. Amazon charges 4% plus $0.30 for Alexa payments.

5. Dwolla

Dwolla is another payment platform that emphasizes simplicity and security. It allows you to send upto 5000 payments simultaneously and receive real-time payments directly from banks that are part the RTP(r). You can also make ACH payments within 24 hours.

Pricing: Dwolla’s Pay-as You-Go plan costs 0.5% per transfer. Flat-rate plans start at $250, $1000, and $2000 per month.

6. Stripe

Stripe is an excellent payment solution for web developers who want to integrate payment systems in their projects. It makes use of Stripe’s powerful API. Stripe acts as a merchant account for its providers and ensures PCI compliance.

Pricing: Stripe charges 2.9% plus $0.30 for each transaction. There are no setup or monthly fees.

7. Braintree

Braintree is an online payment gateway and merchant account solution that works with tech startups such as StubHub and Airbnb .

In 2013, PayPal bought the company. PayPal purchased the company in 2013.

Braintree customers can use a variety of online payment options such as Venmo and PayPal, Visa and Google Pay, and debit and credit card payments.

Pricing There is no monthly or set-up fee. Transaction fees for standard merchants are 2.9% + $0.49 per transaction and transactions using most digital wallets and cards are 2.9% + $0.49

8. WePay

WePay offers online payment infrastructure for independent software vendors.

JPMorgan Chase acquired WePay in 2017. This allowed for functionality such as same-day deposits to Chase bank accounts.

Pricing. WePay negotiates the rates for each platform and software vendor.

9. Verifone (previously 2Checkout).

Verifone is a payment solutions company that started with point-of-sale hardware, but now focuses more on software applications.

2Checkout was purchased in 2020. 2Checkout was purchased by Verifone in 2020.

Pricing: 2Checkout’s 2Sell service charges 3.5% and $0.35 per transaction. 2Subscribe is for subscription-based companies and charges 4.5% plus $0.45 per sales. 2 Monetize, however, is the all-in-one solution. It charges 6% plus $0.60 for each sale.

What about mobile payments?

These two payment services allow merchants to accept credit cards from their mobile devices. Smartphones such as the iPhone, iPad and Android can now function as mobile point-of sale (POS) checkout systems.

Select the best online payment option

There are many online payment options that you have the option to use for ecommerce. Make sure that it is compatible with your business goals.

Ask your account manager for any suggestions based on their experience with ecommerce marketing agencies like Kobe Digital. To get started with our Ecommerce Services, contact us online or by phone.

About the author

Kobe Digital is a unified team of performance marketing, design, and video production experts. Our mastery of these disciplines is what makes us effective. Our ability to integrate them seamlessly is what makes us unique.