With each passing day, the use of payment gateways in India is growing by leaps and bounds. People are willingly shifting towards digital commerce solutions while adopting zero-contact payment methods. According to Statista, the Indian payment gateway market is expected to reach a whopping $1.71 Bn by 2025.

As an eCommerce business owner or an online retailpreneur, you need to have the best payment gateway(s) in place to create a niche. But how to opt for the right ones out of the various options available across the market? How to integrate platforms that can help your company thrive?

Not to worry, our today’s blog will solve your queries once and for all. We will discuss the most reliable payment gateways and assist you in choosing the correct one for your business. So, without further ado, let’s get started.

10 Promising Payment Gateways in India in 2023

#1 Razorpay

It is one of the biggest payment gateways in India that offers dedicated fintech services to online aggregators, merchants, vendors, and eCommerce sellers. It can be easily integrated with various applications and websites without additional setup costs. You just need to spend approx 2-3% as transaction fees (depending on international/domestic payments).

Key Features

Razorpay payment gateway comes with a range of features that helps you build a first-class payments experience. Check a list of features to help you build a first-class payment experience with Razorpay Checkout.
Built-in security compliances.

• Multi-platform integration support.
• Partial Payment Capability
• Payment status viewing with emails.
• 100+ payment modes with added provision for international transactions.

Transaction Fee Structure:

• 2% transaction fee applies to Indian consumer Credit/Debit cards, Net Banking, UPI, and Mobile Wallets.
• A 3% transaction fee is applicable to Diners and Amex cards, International cards, EMI on Credit cards, Debit cards, cardless transactions, and International cards with EMIs.
• Additionally, there is a 2% Razorpay platform fee for services such as Flash Checkout, Reports, Dashboard, and other features.

#2 Paytm

Paytm has become a one-stop digital payment solution for eCommerce, mCommerce, and other related financial services. You do not have to spend a penny on annual maintenance, withdrawal, or its initial setup. When it comes to service charges, you need to give transaction fees of 1.99% in order to use net banking, credit card, and Paytm wallet.

The Paytm wallet eliminates the need to carry cash, debit cards, credit cards, and other items. The Paytm wallet is sufficient for various transactions, such as utility bill payments, recharge, fuel payments, and more.

Key Features

Paytm Digital wallets have gained enough popularity due to their multiple benefits. Let’s take a look at Some of them here:

• Easy registration process
• Supports domestic payment modes.
• No minimum balance requirement
• Provides 24X7 customer support.
• Enables payments via international cards like Maestro, Visa, Discover, Master, and more.

Transaction Fee Structure:

• 18% GST +
• 1.80% for Net banking,
• 1.55% for PayTm Wallets,
• 1.85% for Credit Cards
• AMEX/International: 2.65%
• 0.4% for Debit cards below

#3 PayPal

Paypal is not new to the online money transfer and payment landscape. Online retailers can easily integrate this gateway with minimum transaction charges of 4.4%. It enables the exchange of currencies with a certain fee. You just need to convert the amount received from international customers into Indian Rupees with help of your banks.

Key Features

• Supports 100+ currencies.
• 400+ million active users.
• Multiple payment methods.
• Simplified customer checkout.

Transactional fee‍ Structure

5% + 3 INR per transaction

#4 Cashfree Payments

Another payment gateway without which our list would be incomplete is Cashfree Payments. It is an API-based solution designed to satisfy the payment requirements of startups, SMBs, and even legacy enterprises. Its collaboration with 100K+ merchants has made it a preferred choice of popular eCommerce platforms like Magento and Shopify.

Key Features

• Centralized dashboard with simple UI and detailed analytics mechanism.
• More than 75 Net banking options.
• Supports 32+ currencies.
• Accepts other currencies on request.

Transactional fee

• 1.90% fee when making payments through methods such as Net Banking, Digital Wallets, Google Pay, and Debit/Credit cards.
• For Visa and Mastercard international Credit/Debit cards, there is a 3.5% fee plus an additional INR 7 charge. Diners
• Diners Club and American Express cards incur a 2.95% fee.
• PayLater and Cardless EMIs come with a 2.5% fee.
• Payments made using UPI and RuPay have no associated fee, totaling 0%.

#5 CCAvenue

This platform has become a go-to option for many merchants across the country, due to its faster transaction capabilities. It offers both free and paid versions. For the first year, you won’t have to pay any annual maintenance costs. Later, charges of INR 1200 may apply, which are to be paid at the beginning of every FY. Besides, the transaction fees may differ from 2-5% as per the payment mode.

Key Features

• Supports multilingual checkout (for 18 major Indian & international languages).
• Enables transactions in 27 major currencies.
• Facilitates multiple payment modes.
• Encourages repeat payments with ease.

Annual fee Structure

• 2% of all for domestic Credit/Debit Cards, Digital Wallets, Netbanking, and UPI transactions
• 4.99% for all international Debit/Credit Cards
• 3% for all domestic corporate/commercial Credit cards
• 4% for all American Express, Amex EMI, and Diners Club Cards
• 4.99% for all 27 multi-currency options.

#6 Instamojo

With Instamojo at the helm, you can augment your online transaction journey without any interruptions. It is specially designed to fulfill the payment needs of Indian eCommerce merchants and online retailers. At present, this gateway is helping 20 lakhs + of businesses to create a niche and grow exponentially.

Key Features

• Offers trial with limits on transactions.
• Supports multiple payment modes and international card payments.
• Easy integration and setup.

Annual fee‍ Structure

• 2%+ INR 3 for EMI, Net Banking, Domestic Debit/Credit cards, Wallets, BNPL, etc.
• 3%+ INR International cards and American Express Cards
• 18% GST on transaction fees

#7 Payu

It is a payment gateway that supports 450K+ businesses across India. As an eCommerce business owner, you can either go for its Starter Plan to avail free of cost annual maintenance, withdrawal, and setup. Else, you can choose its Business Premium or Business Plus plans that have pre-defined charges for the same along with a certain transaction fee.

Key Features

• Accepts multiple payment modes and international transactions.
• Promotes multi-currency support and assistance.
• Enables cross-platform integration with precision.

#8 Next Gen Payment Gateway (formerly EBS)

With eBilling also known as EBS, you can successfully make and receive payments on your own website via net banking. Like Payu, EBS’s basic plan doesn’t include any setup fees. However, to make the most out of its special plans, you have to spend a decent amount of money depending on your business requirements.

Key Features

• Accepts international payments.
• Supports 11 major currencies.
• Provides a robust payment security system

Annual fee Structure 

• 2% for any transaction with Domestic Credit/Debit cards and Net banking if you have the Starter Pack.
• 3% if you pay with Amex, ezeClick, JCB, Diners, Wallets, and Cash cards.
• 0.3% additional TDR on Axis Bank, Kotak Bank, and HDFC Bank transactions
• INR 7 is charged for fraud management on international transactions
• 18% GST is applicable on the transaction fee

#9 PayKun

PayKun is a reliable gateway for various eCommerce businesses and retail enterprises. Concretely, it allows all types of domestic and international payment transactions. Indeed, it offers flexible payment options with zero initial setup cost. But when it comes to payment modes, you have to give a transaction fee ranging from 1.75% to 3%.

Key Features

• Offers 120+ payment modes.
• Encourages competitive transaction cost. Provides
• Provides support via emails, chats, and calls.

Annual fee‍ Structure 

• 1.75% for domestic transactions + GST as applicable

#10 Zaakpay

With over 108 million registered users, Zaakpay stands amongst the best payment gateways in India. It is a digital payment platform powered by Mobikwik that offers two plans i.e. Standard and Enterprise. While the cost for the Standard plan may vary, the Enterprise plan can be customized to match your unique eCommerce needs.

Key Features

• Hassle-free integration.
• Safe and secure payment processing.
• Unified dashboard backed by superior tools.

What are the unique features that set the top payment gateways apart?

1. Security: Security is paramount when it comes to handling financial transactions. The best payment gateways employ robust encryption and security measures to protect sensitive customer data and prevent fraud.

2. Ease of Integration: A good payment gateway should be easy to integrate into your website or e-commerce platform. It should offer developer-friendly tools and clear documentation to facilitate seamless integration.

3. Wide Range of Payment Options: The best payment gateways support various payment methods, including credit cards, debit cards, digital wallets (e.g., PayPal, Apple Pay), and other alternative payment methods. This ensures that you can cater to a broader customer base.

4. Global Reach: If your business operates internationally, it’s essential to choose a payment gateway that can handle transactions in multiple currencies and adapt to different regional payment preferences.

5. Competitive Fees: Payment gateways typically charge fees for processing transactions. The best ones offer competitive pricing structures with transparent fees, so you know exactly what you’re paying for.

6. Reliability and Uptime: A reliable payment gateway should have minimal downtime to ensure that your customers can make payments without disruptions. Look for a provider with a strong track record of uptime.

7. Reporting and Analytics: Access to transaction data, reporting, and analytics can help you track and analyze your sales and customer behavior. The best payment gateways provide robust reporting tools.

8. PCI Compliance: Payment Card Industry Data Security Standard (PCI DSS) compliance is essential to ensure that your customers’ card data is handled securely. The best payment gateways should be PCI compliant.

9. Customer Support: Responsive and knowledgeable customer support is crucial, especially if you encounter any issues with your payment gateway. Choose a provider with good customer service.

10. Scalability: As your business grows, your payment gateway should be able to scale with you. Ensure that the gateway can handle increased transaction volumes without performance issues.

11. Mobile Optimization: With the increasing use of mobile devices for online shopping, it’s essential that the payment gateway is mobile-friendly and provides a seamless checkout experience on mobile devices.

12. Reputation and Reviews: Do your research and read reviews from other businesses to gauge the reputation and reliability of the payment gateway provider.

13. Multiple Payment Options: Top gateways support a wide range of payment methods, including credit/debit cards, digital wallets (e.g., PayPal, Apple Pay, Google Pay), bank transfers, and more.

14. Developer-Friendly APIs: Good payment gateways provide well-documented APIs and developer tools, making it easier for businesses to integrate their services into websites and applications.

15. Fast Settlements: Quick access to funds is essential for businesses. Leading payment gateways often offer fast settlement options to ensure timely access to revenue.