How to Collect Payments on Shopify: Methods & Setup Guide

Key Takeaways

Shopify offers three ways to collect payments: Shopify Payments, third-party gateways, and manual payment methods.
Shopify Payments is the fastest to activate — no additional transaction fees, takes under 5 minutes to set up.
Third-party gateways add flexibility but cost 0.5%–2% per transaction on top of your standard card processing rate.
For global stores, adding a gateway that supports local payment methods can significantly cut checkout abandonment.
PhotonPay integrates with Shopify and supports 100+ payment methods across fiat and stablecoins in 200+ countries.

Shopify handles the storefront, inventory, and orders — but getting paid is a separate configuration step that most new merchants don't fully think through until checkout is live. Getting it wrong means abandoned carts, failed transactions, and revenue left on the table.

There are three main ways to collect payments on Shopify: Shopify Payments (built-in), third-party gateways like PayPal and Stripe, and manual payment methods for offline transactions. Each has different costs, availability, and trade-offs.

This guide covers each option, how to set them up, and what to consider if you're selling to buyers outside your home country.

3 Ways to Collect Payments on Shopify

Shopify organizes payment options into three categories. A payment gateway is the infrastructure that authorizes and routes transactions — choosing the right one affects your fees, your customers' checkout experience, and how quickly you get paid.

Shopify Payments — Shopify's own processor. No additional transaction fee on top of your plan rate, with built-in fraud tools and direct integration with Shop Pay for faster checkout. Available in 23+ countries including the US, UK, Canada, and Australia.

Third-party payment gateways — External processors like PayPal, Stripe, or region-specific providers. Adds flexibility for customers who prefer those platforms, but Shopify charges a 0.5%–2% transaction fee on every sale when you use these instead of Shopify Payments.

Manual payment methods — Cash on delivery, bank transfer, money orders. No automation; you mark each order as paid manually. Best suited for B2B or in-person sales.

Most stores use Shopify Payments as their primary gateway, with one or two alternatives added for customer preference.

Option 1 — How to Enable Shopify Payments

Shopify Payments is the default option for stores based in the US, UK, Canada, Australia, and 20+ other countries. It processes Visa, Mastercard, Amex, and Shop Pay, with no separate merchant account needed.

Step-by-step setup

In your Shopify admin, go to Settings → Payments
Under "Shopify Payments," click Activate Shopify Payments
Enter your business details — legal name, address, business type
Add your banking information for payouts
Complete identity verification (required for compliance)

Once enabled, Shopify Payments handles authorization, capture, and payout automatically. Funds typically land in your bank account within 1–3 business days, depending on your country and bank.

Shopify Payments rates (US)

Shopify Plan	Online rate	In-person rate	Additional fee (3rd-party gateways)
Basic ($39/mo)	2.9% + 30¢	2.6% + 10¢	2.0%
Shopify ($105/mo)	2.6% + 30¢	2.5% + 10¢	1.0%
Advanced ($399/mo)	2.4% + 30¢	2.4% + 10¢	0.5%

Rates vary by country. Full pricing details are covered in Shopify's payment processing rates by plan. If Shopify Payments isn't available in your region, you'll need a third-party gateway and the transaction fee will apply on every sale.

Option 2 — Adding Third-Party Payment Gateways

If Shopify Payments isn't available where you're based, or you want to give buyers more choices, you can add third-party gateways alongside — or instead of — Shopify Payments. Shopify integrates with 100+ providers.

Common gateways for global stores

Gateway	Best for	Shopify extra fee	Countries
PayPal	Consumer trust, wide recognition	0.5%–2%	200+
Stripe	Developer control, custom flows	0.5%–2%	46
Klarna	Buy now, pay later	0.5%–2%	20+
Afterpay	BNPL, younger demographics	0.5%–2%	US, UK, AU, CA, NZ

Note: The additional Shopify transaction fee applies to every sale processed through a third-party gateway. At scale, this adds up fast. Upgrading to Shopify Advanced brings the fee down to 0.5%; Shopify Plus brings it to 0.15%.

How to add a third-party gateway

Go to Settings → Payments → Add payment methods
Search for your provider and click Activate
Enter your gateway account credentials
Save and run a test transaction before going live

Option 3 — Manual Payment Methods

Manual methods — bank transfer, cash on delivery, money orders — are settled offline and recorded in Shopify by hand. They carry no processing fee, but require your team to confirm payment before fulfilling each order.

When to use them:

B2B orders where buyers prefer invoices and bank wire
In-person transactions where a card terminal isn't involved
Markets where card penetration is low and cash dominates

For standard online retail, manual methods are not a substitute for a payment gateway.

Test Your Checkout Before Going Live

A payment setup that looks correct in the admin can still fail at checkout. Test it before traffic arrives.

In your Shopify admin, go to Settings → Payments
Under Shopify Payments, click Manage → Enable test mode (or use Shopify's Bogus Gateway if Shopify Payments isn't activated yet)
Place a test order using the provided test card numbers
Confirm the order appears in your admin, a confirmation email fires, and inventory updates correctly
Repeat on mobile — a checkout that works on desktop often breaks on smaller screens

Disable test mode before your store goes live.

Collecting Payments from International Customers

Shopify Payments works well for buyers in the US, UK, and other supported countries. Selling beyond those markets exposes its limits: it isn't available in most of Asia, Africa, Latin America, or the Middle East, and it doesn't offer the local payment methods that buyers in those regions actually use.

Research from Baymard Institute shows up to 14% of shoppers abandon checkout when pricing is unclear or their preferred payment method isn't available — and checkout abandonment is higher still when buyers in specific markets don't see a familiar option at all.

Local payment methods by region

Different regions have different defaults. Buyers in Indonesia expect GoPay or OVO. German buyers often pay by SEPA transfer or Klarna. Brazilian shoppers rely on Pix. Offering only card payments in these markets means losing buyers who would otherwise convert. A breakdown of international payment methods by region shows just how much buyer preference varies across markets.

Region	Common local payment methods
Southeast Asia	GoPay, OVO, GrabPay, TrueMoney, FPX, GCash
Germany / DACH	SEPA Direct Debit, Klarna, SOFORT
Brazil	Pix, Boleto Bancário
Latin America (excl. Brazil)	OXXO, PSE, Efecty, Webpay
UK	Open Banking, Faster Payments
Australia	PayID, BPAY, POLi

PhotonPay — Global Payment Collection for Shopify Merchants

PhotonPay is a licensed international payments platform that connects to Shopify through a plug-in. For merchants selling outside their home market, it covers what Shopify Payments can't reach.

What it adds to your Shopify checkout:

100+ payment methods — card, local bank transfers, e-wallets, and stablecoins (USDT, USDC) across all major blockchain networks, all from one integration
Local payment methods in 20+ markets — Southeast Asia, Latin America, the UK, Germany, Australia, and the US, matched to what buyers in each region actually use
Fiat and stablecoin in one checkout — accept USDT or USDC the same way you accept a card payment; funds settle automatically in your chosen currency
200+ countries covered, with 97% of transactions settling in real time
Built-in fraud protection — AI-driven risk screening, AML compliance, and on-chain KYT for stablecoin flows

PhotonPay is particularly useful for merchants running stores in markets where Shopify Payments isn't supported, or for B2B sellers whose buyers want to settle in stablecoins. The Checkout plug-in requires no custom development — install, connect your PhotonPay account, and your checkout gains the full payment method suite.

How to Reduce Transaction Fees on Shopify

Transaction fees are the cost most merchants underestimate. Strategies for keeping them down — and a broader look at how to avoid transaction fees — apply directly to Shopify stores:

Use Shopify Payments as your primary gateway. The 0.5%–2% Shopify transaction fee only applies to third-party gateways; Shopify Payments eliminates it entirely.
Upgrade your plan if the math works. Moving from Basic to Advanced (US: $399/month) reduces your online processing rate from 2.9% to 2.4% + 30¢. At roughly $60,000/month in sales, the savings cover the plan cost.
Avoid unnecessary currency conversions. Settling in local currency reduces the FX spread embedded in conversion fees.
Shopify Plus merchants get the third-party gateway fee down to 0.15% and can negotiate direct card processing rates.

Frequently Asked Questions

Can I accept payments on Shopify without Shopify Payments?

Yes. Shopify integrates with 100+ third-party gateways including PayPal and Stripe. The trade-off is an additional transaction fee of 0.5%–2% per sale depending on your plan. If Shopify Payments isn't available in your country, a third-party gateway is your only option for online checkout.

How do I accept international payments on Shopify?

Shopify Payments supports multi-currency checkout in supported countries. For broader coverage — including local payment methods in Asia, Latin America, and Africa — adding a dedicated international payment provider gives buyers in those regions the checkout options they expect.

Does Shopify support stablecoin payments?

Shopify itself doesn't natively support stablecoin transactions. You can add this capability through a third-party integration like PhotonPay, which processes USDT and USDC natively across major blockchain networks alongside regular fiat payments.

How long does Shopify Payments take to pay out?

With Shopify Payments, payouts typically arrive within 1–3 business days. Timing depends on your country and your bank's processing schedule. New accounts may have a slightly longer payout window while transaction history is established.

What's the cheapest way to accept payments on Shopify?

Using Shopify Payments eliminates the per-transaction fee entirely. For card processing, rates start at 2.9% + 30¢ on the Basic plan (US) and decrease with higher plans. Manual payment methods carry no Shopify fee but require manual order confirmation for every sale.