Payment gateways and dropshipping is one big love-hate relationship that we see in the e-commerce industry.
When you buy from a physical or brick and mortar store, you have to pay for the purchased product to the cashier. In the same way, when you buy from an online store, you pay through payment gateway solutions. These payment solutions allow funds transfer from buyer to the seller in a quick and secure manner.
Shopify has payment gateways that are tailor-made for specific geographical locations and as a merchant, you can choose from widely popular options.
In today’s blog post we will be sharing the best payment gateways for Shopify which you can use in case Stripe is holding your funds or PayPal account isn’t working/shutdown, also if you are new to dropshipping – just in any case possible, there are other convenient solutions out there in the market.
Before we share the highlights of our blog post, unexpected things or hiccups do happen in business but what you do is what determines your success. Let us help you in figuring out what payment gateways you can utilize if one of the payment solutions isn’t working so that you continue making payments and advertise your products. This means, no bottlenecks.
‘It is important to set-up payment solutions before any mishap happens’ this is huge and merchants wish if they knew.
Merchants always think that Stripe or PayPal will never ban us, we’re paying refunds and following all the rules. Keep your backup Stripe/ PayPal account / merchant accounts.
Let’s just say, you make 100 grand a month and your account got freezed. So keep backup payment accounts, / merchant accounts.
Let’s Explore The Best Payment Gateway for Shopify in 2021
First, Why Not Stripe and PayPal?
The biggest issue in dropshipping is chargebacks/refunds/ handling disputes. Stripe and PayPal keep paying customers’ interest first. If your Stripe account has disputes or refunds, this means your account is at high risk and they will hold your funds or probably shut your account. If you play by the rules and never keep refunds or disputes open, you won’t get banned. However, again we recommend having backup accounts.
Stripe and PayPal for Beginners
Absolute best payment gateways to start with for Shopify are Stripe and PayPal. They have made payments a lot easier, they didn’t use to be like today. People used to go through legal paperwork to be able to set up shop and take people’s credit card information. Anyone can open up an account and integrate Shopify store or sales funnel with Stripe or PayPal instantly, which is not the case with most of the other payment gateway options.
For beginners or those who just started dropshipping business, they should consider Stripe or PayPal their ultimate payment gateways simply because, setting up an account and getting started is quick, it would only take an hour.
Furthermore, people shopping from your online store won’t trust you with uncommon payment gateways especially if you are new and don’t have a name in the market. First establish your brand and trust, later you can shift to other payment gateways.
Payment Solution #1
EPD is a payment gateway and you can integrate your Shopify merchant account with them. Merchant accounts actually process payments.
Biggest plus of this payment option is that you can open multiple merchant accounts.
You got your account shut down? Okay, you can use another account for processing payments.
Con of this payment option is that you won’t get approved if you just started your business. You need some sales history and for that you can start with Stripe and PayPal. Build up your business a little bit.
In case your account got blocked, you can call on their helpline and they will activate another account for you. Just that easy.
Payment option #2
Same like EDP and you can also open multiple accounts with Gateway Funnel Pros. They accept payments for nearly every industry.
Either open a new merchant account or add your existing store merchant account. High rish options, sticky one click upsells and one on one support.
They claim that they know how to set up new gateways, new merchant accounts and even back up merchant accounts. This option works perfectly well with the clickfunnels.
Payment option #3
With other payment options, you have to have a sales history or making some legit money before they can have you the account in most of the cases. However, with electronic commerce you can start from scratch. They can help you scale your business.
They will help you in chargebacks and disputes. Also, they won’t hold your funds. What good you can expect from a payment processor than that?
Payment option #4
If your country doesn’t accept payments from Stripe or PayPal, Payoneer is a reliable payment option. You have to link your local bank account with the Payoneer account. After which, you have to set-up a business LLC. Once you do that, your Stripe account will connect to a Payoneer account and you will get paid via your local bank account.
In other cases, if you don’t want to connect Stripe account with the Payoneer account, it’s your call. You can use it as a wholesome payment option too.
Is Payoneer a better option than Stripe and PayPal?
Transfer fees, security, and network relationships are the key differentiators. Payments via Stripe or PayPal are more secure and charge less transaction fees.
Moreover, PayPal network is big, plus it has international currency acceptance capabilities which makes it an ideal payment gateway for sending payments all around the world.
Another point to mention here is the transfer speed. PayPal transactions take 1-2 business days whereas Payoneer transactions take up to 3 business days.
In sum, you can only win customer trust if you have reliable and secure payment gateways integrated with your Shopify store. If you are new, don’t just jump on any other payment option or gateway. Stripe and PayPal are recommended for beginners. Once you establish a sales history there, move on to other payment options.
You will find a lot more options than the ones we highlighted but the point here is that we tested them which is why we are suggesting these safe and secure payment options.
We cannot stress enough on having backups of merchant accounts, and payment accounts. Your main account may get banned or your funds may get stuck. To avoid any worst-case scenario, keep a backup account.
Integration of the right payment gateway may not be easy for you or you may want guidance. The Ecommerce Development Team of Phaedra Solutions can help.